Electronics company Sharp has revealed it expects to lose over $1 billion in its fiscal year ending March 31.
It has revised down its earnings outlook for its current fiscal year, and now expects sales to be 15 percent lower than originally anticipated.
The Japanese electronics maker also become the latest in the sector to announce it is shedding jobs because of falling demand. Sharp plans to cut 1,500 domestic posts and seeks to make cost savings of 200bn yen (£1.5bn).
Sharp blamed the global recession for the downward revision but the results will also be hit by charges stemming from a re-organisation of its LCD plants, losses on investments and a price-fixing fine levied on the company by Japan's Fair Trade Commission.
In response to the predicted losses Sharp said it will reduce the pay and bonuses of board members and executives by between 30 percent and 50 percent.