Sony Reports First Loss in 14 Years

The $23 billion technology conglomerate will be reporting a $1.1 billion loss for its 2008 fiscal year, its first loss in fourteen years.

When its financial year ends on March 31, Sony will have recorded its second yearly loss since the company went public in 1958.

The corporation had previously promised a $2 billion (200 billion yen) profit, an optimistic goal that was called into question when 16,000 employees worldwide were cut from the company payroll. Additional layoffs, lower spending and the shutting of factories are meant to help return Sony to profitability.

Shockingly, gaming has strongly affected Sony's financials, with the Huffington Post reporting, "The losses are coming from the company's core electronics division, which has long been a steady source of profits."

Sony's stock traded down 7.7 percent in Tokyo trading and 4.85 percent on the New York Stock Exchange before the market opened.

Source: MarketWatch