ANOTHER SETBACK

BT to slash 10,000 jobs

04-13-2009 | AFP

Panama Star BT will also make a 1.5 billion pound writedown in its under-fire Global Services division and slash its dividend by about 60 percent, according to the Daily Telegraph's website.

The job losses, which the report said will be in addition to the 10,000 job cuts BT made last year, are expected to be spread across the company's 160,000-strong global workforce. BT's share price has plunged from 235 pence to 81 pence in just over a year, following a series of bad financial results.

The company warned in October that the previous management of Global Services, which supplies telecoms and IT services to multinational companies and government bodies, had overestimated the profitability of some of its biggest contracts. BT's results are likely to be among the worst 1984.