on Monday slashed its full-year outlook and said it cut 1,800 jobs in the fourth quarter, pledging more "aggressive cost-reduction actions" to battle slumping sales.
The technology company sees a full-year profit of $5.10 to $5.15 a share, excluding special items, vs. an earlier outlook of $5.40 to $5.48 a share. For 2009, the company sees earnings of $4.50 to $4.95 a share, with organic volumes declining between 3% and 7%. Foreign exchange impacts also could lead to sales declines of between 6% and 7%.
Analysts polled by Thomson Reuters had expected full-year profits of $5.44 a share and 2009 profits of $5.31 a share.
"Clearly, the current market challenges require intense focus on cash management and on strengthening 3M's operational execution," CEO George Buckley said in a company press release. "3M's strong financial position, our continued investment in R&D and our operational discipline will allow us to take advantage of market opportunities in this environment."
The company cut 1,800 jobs in the fourth quarter in the U.S., Europe and Japan, saving about $170 million in 2009, the company said. It also is "rationalizing" 10 other offices and other facilities around the world.
3M said it was looking at other potential restructuring, deferred raises and reduced capital expenditures to contain costs.
Shares were falling 2.3% to $58.50 in recent premarket action.
This article was written by a staff member of TheStreet.com.