MAN’s 4Q Income Drops; Will Cut Production

Germany-based truck maker MAN AG will cut costs and extend reductions in its employees’ work hours after the recession and declining sales caused its fourth-quarter profit to plunge by almost half, Bloomberg reported.

Net income declined to about $225 million, from about $415 million euros a year earlier, prompting the third largest truckmaker in Europe to trim its production and management costs by about $630 million, Bloomberg said.

MAN is suspending commercial-vehicle production for 70 days in the first half of the year and will continue with shorter workweeks in the second half after the company received 7,000 order cancellations between October and December.