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Finmeccanica results warning

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Finmeccanica results warning

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Finmeccanica has lowered its full-year earnings forecast and is anticipating a loss of around 200 million euros before interest and taxes.

Italy’s biggest defence firm said it will not pay a dividend to shareholders this year and will sell assets to raise one billion euros to help cut debt.

Saying “uncertain times call for extraordinary measures”, the company will shake up its aeronautics, defence electronics and transport sectors.

The news sent Finmeccanica’s shares tumbling.

The Rome-based company has been hit by turmoil in Libya, a key emerging market it was banking on to generate billions of euros in contracts.

It has also faced unwelcome scrutiny in connection with a slush funds probe by Italian prosecutors.