HIT Sees Big Loss; Sheds 7,000 Positions

Hitachi Ltd. (HIT - Analyst Report) warned of a huge net loss this fiscal year and also declared that it will cut 7,000 jobs on the back of deteriorating sales in its core businesses.

The company aims to shed 4,000 employees worldwide from its automotive systems business and 3,000 from its consumer business.

The Japanese electronics giant now expects a net loss of 700 billion yen (or approximately $7.7 billion). Earlier in October, Hitachi had forecasted a profit of 15 billion yen.

The company also stated that it is planning to cut 200 billion yen in costs by the end of March 2010.

Hitachi is a Zacks #4 Rank ("Sell") company.