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SOURCE SAYS
Taiwan's Asustek plans further reorganization


Reuters
First Posted 11:22:00 03/12/2009

Filed Under: Unemployment, Technology (general), Company Information

TAIPEI--Netbook PC pioneer Asustek is planning reorganization, its second this year, to further streamline its operations, a company official said on Thursday.

No concrete plans or specific timeframe have been finalized, including the possibility of layoffs, said the official, speaking on condition that his name not be used because he was not authorized to speak to the media on the company's behalf.

"Nothing has been officially announced yet, we're still in the process of planning but the current framework is to further cut our business into fewer departments," he said.

Local media reports on Thursday said the company could cut its number of departments to three from six, and lay off 5 to 10 percent of its staff.

That reduction would come after Asustek said in January it was halving its number of departments to six following its first-ever quarterly loss in the last three months of 2008.

The company pioneered the wildly successful low-cost netbook PC in 2007, but has been gradually losing market share as bigger players such as Acer, Hewlett-Packard and Dell enter the market.



Copyright 2014 Reuters. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.



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