Reuters to cut 500 more jobs

Reuters says it will cut 500 more posts to offset a slowdown following the US terror attacks.

In July, the company revealed plans to cut 1,100 jobs.

Reuters lost £4m, and its Instinet operation lost £12m.

The financial news and information group says its customers are now reviewing their spending following the September 11 attacks, leading to a leaner market for its services.

Chief executive Tom Glocer says Reuters will now accelerate its cost cutting programme.

The company expects to save £170m next year, and £220m in 2003.

Reuters has revealed a 4% increase in third quarter revenues to £930m.

Mr Glocer says: "We have delivered sound results, given difficult trading conditions.

"More importantly, we are taking the tough decisions needed to improve our operating margins in the near term and position ourselves for stronger growth when markets recover."

Reuters says it expects to claw back costs of £30m per year through the latest round of redundancies.