SCHAUMBURG, Ill.-Following a sour trend, Motorola Inc. said it would fall short of first quarter sales and earnings forecasts of $8.8 billion and 12 cents per share, respectively.
The announcement sent U.S. and European stocks into a dive Friday.
Motorola cited the U.S. economic downturn and a drop in expected order sales as motivations for the warning. In its fourth quarter report in January, Motorola also expressed concern over orders.
The company has announced many cost-cutting measures and shifted its handset manufacturing from the U.S. to Mexico and China.
