1 Japan economy grows faster than expected (BBC) Japan's
economy grew faster than expected in the first three months of the year,
according to official data. The economy grew 0.5% in the quarter, while the
annualised rate of growth was 2.2% - the fastest rate for a year.
The figures means Japan has now recorded its longest
period of expansion in more than a decade. The economy's prospects have been
boosted by strong exports, a pick-up in consumption and investment for the
Tokyo Olympics in 2020.
Exporters have been helped by the recent falls in
the yen against the US dollar, which has made their products more competitive
and has boosted the value of profits earned overseas. The data could provide a
lift to Prime Minister Shinzo Abe as his government tries to encourage Japanese
consumers and companies to spend more.
2 Cisco cuts 1,100 jobs (Straits Times) Cisco
Systems, the biggest maker of equipment that runs the Internet, said it was
cutting 1,100 jobs after reporting weaker-than-expected financial results in
the past quarter.
A disappointing sales forecast also underscores the
challenges facing its multibillion-dollar hardware business during an industry
shift towards cheaper, software-based networking. Revenue in the current period
may decline as much as 6 per cent from a year earlier, the company said.
That indicates sales of as little as $11.9 billion,
far short of the average analysts' projection of $12.5 billion. Cisco also said
it is cutting an additional 1,100 jobs on top of the 5,500 it announced last
August. Cisco is one of the largest makers of Internet network equipment,
making hardware for a range of industries ranging from telecommunications to
connected devices. It had some 71,959 employees at the end of January.
Chief executive officer Chuck Robbins is trying to
recast Cisco as a provider of networking services, seeking to reduce its
dependence on hardware by offering more software and cloud-based products that
provide predictable revenue.
3 Ford to axe jobs in North America, Asia (Khaleej
Times) Ford Motor plans to shrink its salaried workforce in North America and
Asia by about 10 per cent as it works to boost profits and its sliding stock
price, a source familiar with the plan told Reuters.
A person briefed on the plan said Ford plans to
offer generous early retirement incentives to reduce its salaried headcount by
October 1, but does not plan cuts to its hourly workforce or its production.
The move could put the US automaker on a collision
course with President Donald Trump, who has made boosting auto employment a top
priority. Ford has about 30,000 salaried workers in the US.
The cuts are part
of a previously announced plan to slash costs by $3 billion, the person said,
as US new vehicles auto sales have shown signs of decline after seven years of
consecutive growth since the end of the Great Recession.
Following criticism from Trump, in January Ford
scrapped plans to build a $1.6 billion car factory in Mexico and instead added
700 jobs in Michigan. In March, Ford said it would invest $1.2 billion in three
Michigan facilities and create 130 jobs in projects, largely in line with a
previous agreement with the United Auto Workers union.
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