Times Online is reporting that Sony has reduced their earnings forecasts by 57 percent for the full fiscal year ending March 2009. This comes on the heels of a massive downturn in the global economy.

Sony had previously put forth an estimate of 470 billion yen in profits for fiscal 2008, with the new estimate set at 200 billion yen. The company's weak sales in the U.S. for digital cameras, LCD televisions and other electronic devices preceded this move and was probably not helped by the PS3's underperformance in Japan. The increase in value of the yen as compared to the American dollar have also not benefited the company.

CLSA analyst Atul Goyal gave a full-on "sell" suggestion to his clients on Sony shares, estimating that that the company's full year earnings per share could drop as much as 90 percent. He added that the new forecast of 200 billion yen operating profit was "nowhere close to reality" venturing that a total of 50 billion yen was more realistic.