Eurotunnel plans big job cuts

18 Oct, 2004

Anglo-French transport group Eurotunnel is likely to call for significant job cuts as part of a survival plan to be unveiled at the end of this month, The Business newspaper reported on Sunday.
Citing sources, the newspaper said French unions are set to oppose any cuts. A spokeswoman for Eurotunnel declined to comment.
Eurotunnel, which runs the undersea rail link between France and Britain, has failed to generate enough revenue to pay interest on its nine billion euro debt pile amid soaring construction costs from the outset of the project and stiff competition from ferries and budget airlines.
Rebel retail shareholders sacked the debt-laden group's entire board and top managers in April after a 90 percent dive in its shares since flotation.

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