Print 12 comment(s) - last by glennco.. on Apr 9 at 11:50 PM

These cuts come after the news of Sony's 2011 financial loss for the fiscal year, which totaled 260 billion yen, or $3.2 billion USD

Sony has announced that it will eliminate 10,000 employees in the wake of huge financial losses in 2011.

Cutting 10,000 jobs would equate to about 6 percent of Sony's global workforce. In addition to these losses, seven executives may be asked to give up their bonuses, including former CEO and current board member Howard Stringer.

These cuts come after the news of Sony's 2011 financial loss for the fiscal year, which totaled 260 billion yen, or $3.2 billion USD.

Sony has had some serious troubles in recent years that have led to this. One of the major issues was Sony's LCD TV business, which has had eight years of consecutive losses. The realization that this sinking ship will likely never produce any annual profits led Sony to shake up its LCD TV business last year, then eventually sell its 50 percent manufacturing stake to Samsung in their LCD joint venture called S-LCD Corporation.

In February, Standard & Poor's Ratings Services confirmed an unfavorable outlook on Sony's long-term corporate credit rating. It even dropped its long-term corporate credit and senior unsecured debt ratings on Sony from "A-" to "BBB+."

Newly appointed Sony CEO Kazuo Hirai, which took the position starting April 1, plans to announce his plans for the company over the coming years this Thursday. 

Source: CNET

Comments     Threshold

This article is over a month old, voting and posting comments is disabled

Blow me Sony
By 1ceTr0n on 4/9/2012 11:53:37 AM , Rating: 3
After the amount of crap they've pulled the last several years, I will no longer purchase Sony products after decades of being a Sony fanboy. Next TV will likely be a Samsung and BluRay a Panasonic

RE: Blow me Sony
By tayb on 4/9/2012 1:09:33 PM , Rating: 3
That's probably a better choice from both a price and quality perspective anyway. Sony used to be my ONLY choice for home theater but I feel like the market has passed them by. I relegate them to BOSE status now. Buy Other Stereo Equipment.

I sold my PS3 in protest after their Linux nonsense and I won't be buying whatever console they release next generation. They can certainly win me back but rumors of used games lock down makes me believe they still haven't learned their lesson. Oh well. There are competitors.

RE: Blow me Sony
By quiksilvr on 4/9/2012 1:35:01 PM , Rating: 2
Xbox 360 is going down the same route unfortunately.

RE: Blow me Sony
By 1ceTr0n on 4/9/2012 2:49:31 PM , Rating: 2
Pffft, no its not. Despite 360's faults over the years, its kicking ass and taking names. Why? Because its still so popular

RE: Blow me Sony
By tayb on 4/9/2012 3:13:35 PM , Rating: 2
I believe he was referring to the rumors that the successor to the Xbox 360 will have the same sort of anti-used games nonsense that the PS4 is rumored to have.

RE: Blow me Sony
By dark matter on 4/9/2012 3:33:23 PM , Rating: 2
Being popular does not make you "great". It just means you've fooled a lot of people.

RE: Blow me Sony
By glennco on 4/9/2012 11:50:49 PM , Rating: 2
Sony to me has always been similar to Apple. People buy it for the name assuming they are the best when they rarely are. As the internet is now playing a big part in buying decisions Sony are no longer the blind man's choice. Similar to Apple, they are still kings at marketing though.

May Give Up Bonuses
By jeepga on 4/9/2012 11:54:59 AM , Rating: 2
I find it pretty screwed up that the executives who are primarily responsible for the mess are getting treated so nicely. No cut, nothing, other than they may have to give up their bonuses...

RE: May Give Up Bonuses
By Dr of crap on 4/9/2012 12:40:09 PM , Rating: 2
Hey once you make to that level you protect your own!

Golden parachute anyone?

RE: May Give Up Bonuses
By dark matter on 4/9/2012 3:34:08 PM , Rating: 2
How young are you?

RE: May Give Up Bonuses
By Jedi2155 on 4/9/2012 4:11:16 PM , Rating: 2
Bonuses are probably 1/2 their pay....

A- to BBB+?
By Motoman on 4/9/12, Rating: 0
"Nowadays, security guys break the Mac every single day. Every single day, they come out with a total exploit, your machine can be taken over totally. I dare anybody to do that once a month on the Windows machine." -- Bill Gates
Related Articles

Latest Headlines

Most Popular Articles5 Cases for iPhone 7 and 7 iPhone Plus
September 18, 2016, 10:08 AM
No More Turtlenecks - Try Snakables
September 19, 2016, 7:44 AM
ADHD Diagnosis and Treatment in Children: Problem or Paranoia?
September 19, 2016, 5:30 AM
Walmart may get "Robot Shopping Carts?"
September 17, 2016, 6:01 AM
Automaker Porsche may expand range of Panamera Coupe design.
September 18, 2016, 11:00 AM

Copyright 2016 DailyTech LLC. - RSS Feed | Advertise | About Us | Ethics | FAQ | Terms, Conditions & Privacy Information | Kristopher Kubicki