GENEVA (AP) -- Swiss industrial group OC Oerlikon said Thursday it will cut 1,400 jobs after posting a loss of 592 million Swiss francs ($560 million) last year.
Shareholders approved a 1 billion franc recapitalization program by issuing new shares, said Oerlikon, which makes industrial coatings and components for cars, solar panels and pumps.
But the company said job cuts were necessary this year to reduce costs by 400 million francs after an "abrupt and substantial drop in demand for Oerlikon's products and services during the economic downturn."
The cuts will largely affect Oerlikon's textile and drive systems units.
Oerlikon already cut around 2,600 jobs last year.
It had 16,400 employees at the end of 2009.
Oerlikon shares were down 1.17 percent at 35.40 francs on the Zurich exchange.