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Sony Ericsson Predicts 390m Euro Loss As CEO Steps Down

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It used to be an easy choice: where do you not want to collect your long term pay check? Answer: Motorola. Now? Hmmmn, there's another contender...

Sony Ericsson has been having a horrendous time of things over the last 18 months. It has seen profits fall 48 per cent then crash 97 per cent and finally post its first loss - a hefty 25m euros in October and now it's really plummeting.

The company has revealed this time around it expects to lose between 340m euros and 390m euros in its impending quarter - a simply company shaking amount. Equally concerning it predicts demand for its handset sales will almost half to 14m units with the average selling price for these units just 120 euros - low range, and the poorest margins sector.

Consequently, it isn't surprising to also receive news that Sony Ericsson North American CEO Najmi Jarwala has "chosen to leave the company at the end of March to pursue other career opportunities."

"Under Najmi's leadership we have redefined our North American strategy, built operational excellence and strengthened our total presence considerably in this very important market," said brave faced Sony Ericsson global president Dick Komiyama. "We are sad to see him leave Sony Ericsson after more than three successful years, but at the same time we wish him all the best for his future."

Saddens me to say it, but I don't think he'll be the last out the door...

Links:
Sony Ericsson Sales Forecast Press Release
Jarwala Press Release

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