Motorola sets Q1 charges at $229 million
A total of 5,600 employees left Motorola in the first quarter as part of previously announced cuts, and the company will have to cough up $229 million to see them off.
Motorola announced plans Monday to record $229 million in charges related to layoffs during the first quarter.
In a filing with the SEC, Motorola said that it will have cut 5,600 employees in the first quarter, completing the . In exchange for letting those employees go, Motorola will have to pay them $216 million as well as record an additional $13 million in charges related to the exit of certain businesses.
Motorola has a goal for reducing its 2009 annual costs by $1.5 billion. The company's handset division has languished in the year since it announced plans to seek a buyer for that group. No one stepped forward, CTIA 2009., and product development seems to have stayed home as well; Motorola handsets were practically absent from