Applied Materials to cut 1,300 to 1,500 jobs

updated 4:42 p.m. ET Nov. 11, 2009

SANTA CLARA, California - Applied Materials is laying off 1,300 to 1,500 people over the next year and a half to cut costs as the company grapples with a downturn in business.

The chip equipment maker said Wednesday the job cuts represent 10 to 12 percent of its global work force and are part of a restructuring plan to save $450 million a year.

Applied Materials reported a 40 percent drop in fourth-quarter net income to $138 million, or 10 cents per share. Revenue fell 25 percent to $1.53 billion.

Results beat the 3-cents per share in profit expected by analysts polled by Thomson Reuters, and exceeded their revenue forecast of $1.32 billion.

Also in msnbc.com business ConsumerMan: Are your holiday lights a fire hazard? Answer Desk: Repairing your credit rating Your Career: More and meaner gossip at work Blacks fear path to middle is class blocked   Video: Las Vegas’ big gamble

MORE FROM U.S. BUSINESS

U.S. business Section Front

AOL goes it alone in split with Time Warner Microsoft, Yahoo seal search deal FCC questions Verizon about doubling fee 12 companies that ace Twitter Newsweek: Americans face lean workplace for years Report: Galleon founder probed a decade ago CNBC: Google searches for mobile edge Boeing urges retrofit of some 777s: report GE reaches deal with Comcast for NBC Comcast-NBC will face tough antitrust review U.S. business Section Front   Add U.S. business headlines to your news reader: