Alcatel-Lucent inks deal with China Huaxin

French-US telecommunications equipment company Alcatel-Lucent SA says it is in talks to sell its business that deals with corporate clients to China Huaxin for around 268 million euros ($A407.41 million).

The business, known as Enterprise, has nearly 3000 employees. The deal is expected to close in the third quarter.

The news comes as the company reported on Thursday further losses amid more restructuring and flat or falling sales in much of the world.

Alcatel-Lucent, which has lost money nearly every year since its 2006 creation, reported a net loss of 1.3 billion euros in 2013, against 2 billion in 2012.

CEO Michel Combes said the company is on track to achieve revenue and cash flow targets by 2015, but made no forecast on when the group would turn a profit.

AP