10 September 1998
Russia and Far East troubles hit Case
US-based tractor and machinery maker Case expects earnings to drop by 25% in 1998, compared with 1997, while 1000 staff will lose their jobs worldwide.
The company blames the cuts on the economic upheavals in Russia and the Far East. It does not expect to complete machinery orders to Russia and other ex-Soviet nations during 1998.
Case sees a decline nearer home, too, predicting a 15% decline in the North American agricultural equipment market in the next year. Western Europes market will shrink, too, says Case, but only by 5%.
Worldwide production of Case agricultural products will be cut by 9%, resulting in 1000 fewer staff, laid off at an extra cost of US$70-80 million (£42-45m) in the second half of this year.