The Channel logo

News

By | Kelly Fiveash 7th January 2009 12:04

Lenovo shares suspended

Jittery market reacts to expected rejig

Shares of Lenovo have been suspended ahead of an expected restructuring announcement from the computer maker tomorrow (8 January).

The Beijing-based vendor said yesterday that the shares had been suspended pending the release of “price-sensitive information”, according to Reuters.

Last week influential Chinese magazine Caijing claimed that Lenovo would imminently slash 200 permanent jobs, had suspended hiring at the firm and planned to sack factory contractors in an attempt to offset tough economic conditions.

In the third quarter of last year Lenovo's share of the PC market dropped to 7.4 per cent from eight per cent in the same period in 2007.

Lenovo, which has seen its share value plummet 70 per cent in the past year, saw its profits tank for the quarter ended in September when it pulled in pre-tax income of $39m, down from $125m for the same three months of 2007. ®

comment icon Read 5 comments on this article alert Send corrections

Opinion

Killer whale

Chris Mellor

Firm cites 'low demand' plus 'abusers'

Tim Worstall

Or why the reversal of globalisation ain't gonna 'appen
The full Spanglish breakfast: mealy pudding, bacon, black pudding, sausages, fried egg, toast
Blood image

Trevor Pott

Can the storage giant overcome a lack of necessary leadership?

Features

No, silly... he was the fall guy for years of Finnish folly
Fraud image
Frodo and the Ring
Microsoft's strategy is to make Store apps popular. Good luck with that