Alcatel-Lucent reported a fourth-quarter loss of just under $5 billion and took a $5.1 billion writedown, as it continued a string of quarterly losses and prepares for cost cuts this year expected be worth almost $1 billion. Revenue slid during the fourth quarter by about 5.3 percent to $6.3 billion.
The results seemed to be in line with analysts' expectations, and though the writedown apparently was not anticipated, it was viewed positively as part of the company's ongoing recovery efforts. As Alcatel-Lucent continues to restructure, the company has pursued the sale of a stake in its Thales defense unit, and other asset moves have been expected, though not yet announced. Alcatel-Lucent CEO Ben Verwaayen reiterated guidance for 2009, with the expectation that the telecom market will deflate by at least 8 percent, and said that the company continues to pursue product line evaluations and refocus its research and development efforts.
- The Wall Street Journal has this report
Alcatel-Lucent showed balance sheet improvements in the third quarter
Alcatel-Lucent has sought to sell a stake in its Thales unit
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