Technicolor to cut 625 Grass Valley jobs

French technology group Technicolor, formerly known as Thomson, is reorganising its Grass Valley division and plans to cut 625 jobs worldwide at the broadcast and TV/film equipment unit it is seeking to sell.

Technicolor said in a statement that the reorganisation plan would enable Grass Valley "to adapt to a strongly deteriorated business climate" caused by declining broadcaster budgets and lower spending on advertising.

Grass Valley's revenues have fallen 31 per cent since the end of 2008, and it made a loss before tax, net finance costs and impairment charges of E87 million in 2009. The planned job cuts represent a quarter of Grass Valley's headcount.