Byte: AST will slash jobs in reorganisation

Andy Oldfield
Tuesday 09 December 1997 00:02 GMT
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The California-based AST, owned by Samsung Electronics of South Korea, revealed plans to reorganise its global operations that could eventually cut as much as 37 per cent of its workforce. After a $110m first-quarter loss, AST will make about 1,100 workers redundant, cut capacity at its Fort Worth, Texas, factory, and eliminate sales branches in Australia and South-East Asia while reviewing its operations in Europe.

"We must get AST to the point where it can grow again and, from there, become an industry leader," president and chief executive officer, ST Kim, said last week. "This requires definitive action of the sort we are taking today." The company - which last year was the first to market a sub-$1,000 PC in the US - said it will not abandon any of its product lines as it seeks to return to profitability.

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