ST-Ericsson, which is a joint venture between STM Electronics and Ericsson, witnessed net loss of $ 224 million in Q2 09 with revenues also falling by 31 % on YoY basis. The revenues stood at $ 666 million as compared to $ 966 million, a year ago. In Q1 09 the revenues were at $ 562 million.

The increase in sales was due to strong uptake from the Chinese market. Net cash reached $ 326 million in Q2 09.

The company claimed that its restructuring plan was going as per plans with the company incurring $ 250 million in cost for reduction of 500 employees.

“We have kept a strong focus on our restructuring and realignment plans. The $250 million cost synergies program, defined by ST-NXP Wireless in the third quarter 2008, is expected to be completed by year-end according to schedule. The new restructuring plan of $230 million cost synergies, announced at the end of April, has been initiated and is expected to be completed by the second quarter 2010,” said President and CEO, Alain Dutheil.