Fears are growing this morning that the Irish arm of Colt Telecom, the UK business telecommunications provider, may be forced to axe a number of jobs.
The company, which has operations 27 European cities across nine countries, announced today it is cut up to 800 jobs in the next 12 months.
The jobs will go as the company changes its organisation to what it calls a "pan-European structure" that is expected to save up to £40 million sterling a year.
The company has a network operations centre at the IDA Business Centre in Dublin.
The company will make a provision of approximately £25m for the quarter to cover the expected cost of this programme.
Colt is also writing down its assets to the tune of approximately £550m in the same quarter.
But it expects earnings to improve to approximately £17m compared with the £14.7m reported in the previous quarter.
Turnover is expected to be at a similar level to the £258.3m reported for the previous quarter and increase by approximately 12% over the same period a year ago.
Capital expenditure for the quarter is expected to be less than the £111m reported for the second quarter with cash and liquid resources expected to be approximately £1 billion at the end of the quarter.
Additional reporting PA
