Lucent announces terrible results

NEWS Telecoms equipment giant Lucent has turned in an abysmal third quarter report today, with losses spiraling tenfold for the troubled company as it struggles to restructure. The company resolved to remedy the situation by making another 15,000 to 20,000 people redundant. Revenue from continuing operations declined 21 per cent to $5.82bn, compared to £7.41bn in the same quarter a year ago. Net losses extended to a whopping £3.25bn - a tenfold increase on the corresponding quarter's $301m. In a statement, Henry Schacht, chairman and CEO of Lucent, acknowledged the company will have to resort to desperate measures to keep afloat. He said: "I am pleased with the progress we have made on all points of Phase I of our restructuring program. However, we intend to go deeper with a new phase of our restructuring to reshape Lucent for future growth and profitability even more quickly." Schacht promised to cut annual operating expenses by $2bn, reduce the workforce and return the company to profitability during 2002.