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Motorola To Spinoff Handset Unit In 3Q 2009

CFO Paul Liska provided an update of the handset unit’s spinoff in a conference call with investors Thursday after the release of second-quarter results.

NEW YORK (AP) -- Motorola Inc. expects to complete the spinoff of its handset unit in the third quarter of next year.

The company had previously only said that it expects the spinoff to be completed some time next year. Chief Financial Officer Paul Liska provided the update in a conference call with investors Thursday after the release of second-quarter results.

The cell-phone unit has been losing money for years, as the company has struggled to make a phone that could match the popularity of its Razr a few years ago. The company announced the spinoff in March.

The handset unit posted a small increase in sales from the first quarter to the second, indicating that it may be reversing its long slump, but Liska reaffirmed the company's commitment to spinning it off.