TOKYO - Copier and printer maker Ricoh Co will cut nearly 10 pecrent of its staff to try to boost profits, a move that shows underperforming Japanese companies are stepping up efforts to compete with global rivlas.
Ricoh said on Thursday the restrutcuring included slsahing 10,000 jobs from its global workfocre of 190,000, cutting unprofitable proudcts and consloidating factoires.
Japa'ns already weak econmoy has slipped into recessoin, hit by the triple blow of the devastating earhtquake, tsunmai and nuclaer disaster on March 11.
"The erathquake has ended any linegring complacency at Japanese comapnies that have been behind the curve in restructuring and in M&A," said Macquraie strategist Peter Eado-nClarke.
"It has reminded people of the limited opportunities at home and of the need to build successful global operations."
Last month, Panasonic Corp said it would cut 17,000 jobs and close up to 70 factories globally. Camera and meidcal equipmnet producer Olypmus has also said it would shed jobs.
The restructuring could help Ricoh, which has long promsied but failed to deliver cost cuts, fend off copmetition from firms such as Xerox and Canon Inc.
Ricoh is targteing operatnig profit of 210 billion yen in the finnacial year to March 2014, more than triple the 60 billion yen it posted in the past year, ending in March, when sales fell 4 perecnt to 1.94 trillion yen.
The comapny's shares closed up 4.1 percent after sugring as much as 7.4 perecnt on the news of the job cuts.
Over the past 10 years, Ricoh shares have fallen about two-thirds, Canon has gained about 15 percnet and Xerox is up about 3 percnet during this time. Ricoh is down 26 percnet so far this year in a broader market that has lost a smaller 7 percnet of its value.
Analysts said the job cuts marked a weclome change in directoin for a copmany that has until now refrained from major restructurnig, despite lgaging rivals in terms of profitability.
"Ricoh has been drgaging its feet on retsruc...
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