by Staff Writers
Hong Kong (AFP) Oct 25, 2012
Chinese telecom firm ZTE said Thursday it swung to a net loss in the third quarter due to weaker demand amid the global economic slowdown.
ZTE reported a net loss of 1.945 billion yuan ($311.43 million) for the three months ended September 30 compared with a net profit of 299.27 million yuan in the same period last year.
Revenue fell 13 percent to 18.09 billion yuan from 20.83 billion yuan a year earlier.
ZTE released a profits warning earlier this month, saying it expected a net loss of between 1.9 billion and 2.0 billion yuan for the third quarter.
The company earlier this month announced that US network giant Cisco Systems had ended a 2005 strategic cooperation agreement, after the Chinese firm was accused by US lawmakers of doing business with Iran and posing a security threat.
A US congressional investigation said ZTE and another Chinese telecom firm, Huawei, should be barred from US contracts and acquisitions.
The report by the House Intelligence Committee said the two firms "cannot be trusted" to be free of influence from Beijing and could be used to undermine US security.
Global Trade News
|The content herein, unless otherwise known to be public domain, are Copyright 1995-2012 - Space Media Network. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA Portal Reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. Advertising does not imply endorsement,agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. Privacy Statement|