Motorola cited a significant weakness in orders, translating to lower sales and, barring a quick turnaround, will produce its first operating loss since the third quarter of 1985. The company declined to offer any guidance on its expected first quarter results.
Motorola has suffered a string of setbacks over the past year since its recovery from a 1998 restructuring ran out of momentum. Its failure to anticipate the public’s preference for cheaper cell phones caused it to slip far behind former runner-up Nokia.
Motorola’s stock fell $1.04, 6%, to close at $16.25 Friday on the New York Stock Exchange, just above its two-year low of $15.81.
