Tomahawk, WI 02/04/2014 (BasicsMedia) – Weatherford International Ltd (NYSE:WFT) has joined the list of companies that plan to carry out massive job cuts in 2014. In fact, the company announced that it intends to see the number of its workers cut down by as much as 7,000. This oilfield giant has stated that it expects to see a shortfall in its fourth quarter profit, primarily due to the effects of the severe weather patterns that affected its operations in North America. WFT blames the poor results on the disruptions that took place regarding its operations in the Middle East region, which proved to be too costly.

When the company announces its fourth quarter financial results, it expects to see a huge improvement in the North American operations. The company expects that it will save around $500 million annually from these job cuts, and that this will be reflected in its profits for 2014. WFT announced that it will not carry out the job cuts in one go, but that this will be a gradual process that will last the entire first half of 2014. The company’s finances suffered some setbacks when the US authorities fined it $253 million for flouting sanctions rules on Iran and Syria.

Weatherford International Ltd (NYSE:WFT)  is not as large as its counterparts in oilfield services, which include Baker Hughes Inc, Halliburton Co, and Schlumberger Ltd. Being the smallest compared to these other firms, WFT has made all effort to remain active in this industry. Although the disruptions in Middle East affected the company’s financials, it is important to note that this did not limit it from collecting 18 percent of its revenue from this region, which is similar to what it garnered from its operations in Africa. The largest chunk of its revenue, 45 percent, is from North America.

Weatherford International Ltd (NYSE:WFT) seems to be doing rather well in terms of reducing it debt. In its latest financial results, the company says that it has reduced its current debt by $700 million, and that this took place only during the fourth quarter of 2013. Some of the money that WFT used to settle part of its debt was from the sale of its shares in Borets International, which is a submersible pump producer located in Russia. Currently, its total liabilities stand at around $14.3 billion, which it hopes to keep reducing as it balances its books with various cost-cutting measures, such as laying workers off.

Its list of total liabilities includes both short-term and long-term borrowings and debts. Weatherford International Ltd (NYSE:WFT) appears to be on its way towards meeting the goals it set for 2013, which will go over into 2014. The oilfield is doing well in many aspects, and once the disruptions in Middle East stop, and the weather improves in North America, the company should see its businesses doing well than they have done in the fourth quarter of 2013. If it carries out the job cut successfully without attracting too much negative publicity, Weatherford International Ltd (NYSE:WFT) will have done what many of its peers failed to do.

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