Consumer electronics giant Sony has forecast an annual net loss of US$6.4bn, more than double previous estimates. The company is reportedly planning to axe 10,000 jobs as part of a turnaround plan.
The company attributed US tax charges as a key factor in the record losses.
For the third quarter ended 31 December, sales of US$23.3bn, a fall of 17.4pc year-on-year, have been impacted by decreases in personal devices and other consumer products.
The floods in Thailand, as well as rates of the yen versus the US dollar, were also contributing factors.
In the third quarter, Sony recorded an operating loss of US$1.1bn.
A key factors in Sony’s struggles is its ailing consumer TV business; in fact all TV manufacturers are struggling.
Looking ahead to 2012, Sony has optimistically predicted, however, that it may turn around an annual profit of US$2.2bn (180bn yen).