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UAE telecom du targets $272 million in savings by 2019

The United Arab Emirates’ second largest telecom company du expects to save 1 billion dirhams ($272.3 million) by 2019 as higher government taxes continue to weigh on its net profit, its chief executive said Thursday.

The Dubai-listed company expects to save “at least” 1 billion dirhams over the next three years, CEO Osman Sultan told reporters on a conference call. He later said it could be more.

The savings will come from changes to its cost of sales, operational expenses and capital expenditure, he said.

Du on Tuesday reported a 20 percent fall in fourth-quarter profit.

Sultan said last month the company had started a restructuring process in the second quarter of 2016 that included some job cuts.