Sales Down at ABB, Schneider; Reorgs Ordered

In addition to aggressive cost cutting, the two automation giants reorganize automation groups in an attempt to jump-start 2010 activity.


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Posted on Feb 18, 2010

European-based automation giants ABB and Schneider Electric relayed similar stories in announcing fiscal-year results this week. Both companies pointed to recession-inspired sales declines that were counterbalanced in part by aggressive cost cutting and a stirring of activity in the fourth quarter.

In addition, both companies announced product group reorganizations aimed at enhancing their service offerings to customers.

ABB’s product portfolio is split between power and automation, and, in 2009, the automation business experienced a substantial revenue decline, especially in the robotics business, the company said.

For its fiscal year, the company reported net income of $2.9 billion on revenue of $31.8 billion, off 7% and 9%, respectively, from $3.1 billion in earnings and $34.9 billion in revenue in 2008.


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