Agence France-Presse, Singapore<\/p>\n
Singapore's Neptune Orient Lines' (NOL) said Wednesday it will
\ncut over 1,000 jobs worldwide after its net loss in 2002 widened
\nto US$330.156 million from $56.366 million a year ago.<\/p>\n
The deterioration in the company's financial accounts was due
\nmainly to a charge of $109 million for exceptional items and
\ndepressed freight rates, the state-linked shipping liner said in
\na statement.<\/p>\n
NOL's 2002 losses had been anticipated by the company in a
\nprevious profit warning, and officials were confident of a
\nsubstantial improvement this year following cost-cutting moves.<\/p>\n
Its 2002 revenues shrank two percent to $4.6 billion.<\/p>\n
\"While 2002 was tough for the industry as a whole, it was
\nparticularly tough for NOL,\" said Cheng Wai Keung, NOL's group
\nchairman.<\/p>\n
\"We were geared for growth just as the tide of world trade
\nebbed, and we did not adjust quickly enough to the changed
\ncircumstances,\" he said.<\/p>\n
For this year, Cheng said the firm would concentrate on
\nreducing expenses and this would involve cutting some 1,100 jobs
\nworldwide.<\/p>\n
\"During 2003, we are looking to further reduce general and
\nadministrative costs as well as operating costs, and this will
\ninclude some headcount reduction although this will not be across
\nthe board, but as a result of the core businesses looking for
\ngreater efficiencies,\" he said.<\/p>\n
\"We are also paring down our costs, managing our yield closely
\nand working hard to recover rates. Our target is sustainable
\nprofitability and we anticipate a substantial improvement in
\nperformance in 2003,\" Cheng said.<\/p>\n
The shipping firm is still looking for a chief executive after
\nDanish-born Flemming Jacobs stepped down from his post last month
\nbefore his contract ended next year<\/p>\n
The results were released after the Singapore stock market
\nclosed Wednesday. Shares in NOL ended steady at 52.59 U.S.
\ncents).<\/p>",
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