Intel to cut jobs while net income falls in line with forecasts

Santa Clara, CA – Intel Corp. reported second-quarter earnings in line with its own diminished forecasts, blaming sluggish sales in Europe. The world’s biggest chipmaker forecasted third-quarter revenue to be flat to slightly higher than the second quarter.

It also plans to reduce its work force by 4,000 or nearly 5% of the total, in the second half of the year, primarily through attrition and voluntary separation programs, Reuters reported.

Intel said net income was $446 million, or $0.07/share, including charges, compared with $196 million, or $0.03, in the year-ago quarter, which included $0.09/share in acquisition-related costs.

Revenue was $6.32 billion, little changed from the $6.33 billion in the year-ago quarter. Intel did not provide earnings per share figures excluding the charges for exiting its web hosting business and for a write-down of assets related to its Xircom acquisition.


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