Motorola to cut 1,000 jobs, take $50 million charge; chip operations being spun off
Tuesday, September 28th 2004, 11:26 am
By: News On 6
CHICAGO (AP) _ Motorola Inc. will cut 1,000 jobs that officials said Tuesday were no longer necessary as it spins off its chip operations.
Motorola spokeswoman Jennifer Weyrauch said the cuts would be made worldwide ``to better align our work force'' and in anticipation of the separation of its chip operations, now operating independently as Freescale Semiconductor Inc.
Motorola employs 88,000 people worldwide.
The Schaumburg, Ill.-based company said it would take a charge of $50 million for severance benefits and also expects to have $80 million in third-quarter costs related to paying off various debts.
In a filing with the U.S. Securities and Exchange Commission, the company said the cuts also include jobs in Motorola's integrated electronic systems and broadband communications businesses.