Cable & Wireless reports €12m losses
THE Irish arm of Cable & Wireless booked bottom-line losses of more than €12m in the weeks before it decided to lay off 10 of its staff last April.
The telecoms company's result for the year ended March 2009 is revealed in accounts just filed with the Companies' Office. The year's performance brings Cable & Wireless's total losses in the Irish market to more than €21m.
The massive losses left Cable & Wireless (Ireland) with a shareholders' deficit of more than €16m, but its directors said it should continue to be viewed as a going concern, citing "arrangements with group undertakings".
The Irish company's creditors' schedule is overwhelmingly made up of fellow Cable & Wireless entities, who are owed more than €11m.
On the trading front, turnover at Cable & Wireless (Ireland) fell only marginally, coming in at €14.2m. The company was hit by a litany of large costs, including €2.4m for "dilapidations expenses" following an office move, prompting a deterioration in operating losses from €4.5m in 2008 to €7.6m last year.
Bottom-line losses were aggravated by a €7.6m hit for the "difference between expected and actual return" on assets in its pension scheme, nudging final losses for the year to €12.4m.