In response to huge losses at its overseas affiliates, Nomura Securities Co. has decided to reduce payrolls by 1,000 to 2,000 at home and abroad, company sources said Wednesday.Nomura is expected to make an official announcement of the job cuts today when it releases its audited semiannual financial results for the April-September period.The restructuring plan includes laying off staff at its U.S. and British affiliates, which suffered losses from the Russian currency crisis and real estate-linked securities transactions.In Japan, the reductions will take place through attrition. The drastic restructuring, the first by the nation's leading securities firm since the financial crisis of the 1960s, offers further evidence of the seriousness of Japan's ongoing financial troubles.The sources said Nomura Securities will report around 200 billion yen in consolidated net losses because of the sour overseas investments. It is also expected to announce 33.7 billion yen in evaluation losses on its Japanese securities holdings, which have been hurt by ever-slumping Japanese share prices.Nomura Holding America Inc., Nomura's U.S. holding company, is expected to suffer $1 billion in appraisal losses on real estate-related securities it had floated.Nomura Securities will also book a $350 million loss suffered by both its British affiliate and the U.S. holding company due to a plunge in Russian government bond prices, according to the sources.
