LOS ANGELES (AP) -- Sony plans to close about two-thirds of its U.S. Sony Stores as part of a wide-ranging company restructuring it announced earlier this month.
The closings affect 20 Sony Stores in several states, including five in California and two in Virginia. The only Bay Area store that will remain is the Stanford location in Palo Alto, with Sony's stores in San Francisco, Santa Clara and Gilroy scheduled to close.
It is keeping open 11 Sony Stores including its flagship store in New York, and several other stores in California, New York and Florida.
The company also said that 1,000 of the previously announced 5,000 job cuts would come from its Sony Electronics unit, mainly in the U.S. and Mexico. The cuts are to take place before March 2015. Sony said about 400 of the job cuts will be in San Diego.
Sony forecast a $1.1 billion loss this year as demand slows for TVs and personal computers, while competitors such as Apple and Samsung Electronics dominate the still-growing market for smartphones. The company plans to sell its PC business to buyout firm Japan Industrial Partners and is splitting the TV manufacturing unit into a separate operating entity.
"While these moves were extremely tough, they were absolutely necessary to position us in the best possible place for future growth," said Mike Fasulo, president and chief operating officer of Sony Electronics, in the statement today. "I am entirely confident in our ability to turn the business around."
Sony American depositary receipts rose 0.6 percent to $17.38 at the close in New York. They are little changed this year.