Union bosses at Marconi in Chelmsford are hopeful the "tide was turning" for the embattled company.

Trading conditions remain "tough" as it reported second quarter figures in line with previous estimates.

The group said in its much-anticipated trading update that its first half operating loss of £222m included an improved £5m operating profit recorded in the second quarter.

It has reduced its net debt to £4.28bn at the end of September, down from £4.44bn a month before.

Mick Elliott, chairman of the Manufacturing Science and Finance Union at Marconi Mobile in Chelmsford, said: "The results are quite heartening. It is better than it could have been, and hopefully the tide is turning."

To stem its losses, Marconi has slashed costs by cutting staff numbers, and during September 630 employees left.

The group, which this year announced plans to cut 10,000 staff, said its employee numbers had been cut to 32,600, from 39,000 in March.

For more on this story see www.business-in-essex.co.uk

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