Celestica to Stop Making Products for RIM

Multinational electronics manufacturing company Celestica Inc, announced today that they will no longer make products for Research in Motion Ltd, its largest client. The BlackBerry manufacturer will be shrinking its global supply due to weak demand for its products over the past year. RIM products accounted for just 19 percent of Celestica’s first-quarter revenue, down 16 percent from the previous year. The struggling company has recently hired bankers from J.P. Morgan and RBC Capital to assess their strategic options moving forward. Despite the loss of client RIM, Celestica announced that they still expected an adjusted second-quarter profit of 20 cents to 26 cents per share.

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