Rockwell plans staff cuts of up to 10%
Article Abstract:
Sagging stock prices may be reversed as Rockwell International Corp., facing slow growth of its automation business and technological changes in its semiconductor operations, announced a companywide goal of staff reductions of up to 10% in its 48,000 employee work force. Rockwell has confronted problems with its industrial automation business as domestic factory has declined, partly due to the Asian economic slowdown, prompting financial analysts to predict a low revenue growth rate of as little as 3% in the current fiscal year compared with 7.8% growth in 1997. Its semiconductor business also faces problems, such as lower pricers and demand, despite Rockwell's position as the world's largest computer-modem chip manufacturer.
Comment:
Rockwell plans staff cuts of up to 10% of its 48,000 workforce due to low profits and product demand
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1998
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Rockwell to spin off chip operations, cut work force
Article Abstract:
Rockwell International Corp., builder of the Space Shuttle and the B1 bomber, announced that it will spin off its Semiconductor Systems Division because of difficulties maintaining the volatile business amid rapidly changing technology. Rockwell will focus on its two remaining businesses in industrial automation and aircraft-avionics, where it will cut 9% of jobs and take a charge of $625 million in the current quarter. The semiconductor division will be run as a separate company, but the deal remains contingent on tax rulings.
Comment:
After spin off its semiconductor div., will focus on its aircraft-avionics and automations divs.
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1998
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Rockwell sees operating loss at chip unit
Article Abstract:
Rockwell International Corp. announced that it will post one-time charges and operating losses of $265 million at its semiconductor-systems unit. The unit is scheduled to be spun off. The charges and operating losses are for the fiscal fourth quarter that ended on September 30, 1998. The one-time charges were slightly higher than expected. However, the forecasted operating losses were much worse than what was expected.
Comment:
Announced that it will post one-time charges and operating losses of $265 million at its semiconductor-systems unit
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1998
User Contributions:
Comment about this article or add new information about this topic:
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