Polaroid Loss Bigger Than Expected
CAMBRIDGE, Mass. (AP) _ Struggling camera and film maker Polaroid Corp. lost $90.9 million in its first-quarter, due primarily to a hefty restructuring cost. The loss was greater than what Wall Street was expecting.
For the three months ended April 2, Polaroid lost $1.98 per share, compared with a loss of $1.4 million, or 3 cents per share, in the same quarter a year ago.
Excluding one-time charges of $80 million, the Cambridge-based company lost $38 million, or 85 cents per share.
Analysts surveyed by Thomson Financial/First Call expected a comparable loss of 79 cents per share.
The company had revenues of $330.8 million for the first quarter, down 18 percent from $402.3 million in the first quarter of 2000. Polaroid blamed declines in international markets due to decreased demand for instant cameras and film, and retailer inventory reductions.
Shares fell 7 cents to $3.57 in trading on the New York Stock Exchange.
The report comes after Polaroid suspended its 15-cents-per-share dividend on the company’s common stock for the first quarter in February. It was the first time in at least 30 years that the company suspended dividends on common stock.
Earlier this quarter, the company also announced plans to cut its work force by 950 positions, or 11 percent, by the end of the year.
Chairman and chief executive officer Gary T. DiCamillo said the company was continuing its five-point plan to cut costs and reduce debt.
He said the company plans to generate cash by completing restructuring, reducing working capital, consolidating manufacturing, reducing capital spending and selling assets.