GERMAN industrial conglomerate Siemens is poised to sell its 50-percent stake in joint venture Fujitsu Siemens Computers to Japan's Fujitsu Group, according to insiders.

Siemens has been contemplating a sale of its half at least since August. Chief Executive Peter Loescher said then that the company was in talks with Fujitsu about the unit, which makes personal computers and laptops and posted sales of 6.6 billion euros (US$8.5 billion) but a pretax profit of just 105 million euros last year.

While no price for the stake has been disclosed, German media have valued it at about 500 million euros.

Two insiders with knowledge of the deal told the Associated Press that an announcement could come within days but they declined to provide more specific details.

Siemens did not comment and a call seeking comment from Fujitsu was not immediately returned.

Last week, Fujitsu said that its profits dropped 21 percent to 4.29 billion yen (US$44.2 million) in the most recent quarter as sluggish sales of personal computers and other gadgets offset growth in technology services.

The Tokyo-based company lowered its profit projection for the fiscal year, blaming an expected fall in consumer electronics purchases as the global economy slows.

Like other Japanese exporters, Fujitsu's earnings have been hurt by the rising value of the yen.

Siemens reports its third-quarter earnings later this month.

The joint venture employs more than 10,000 workers worldwide, among them 6,200 in Germany with plants in Augsburg, Munich, Paderborn and Soemmerda.

Dieter Scheitor, a representative for the union IG Metall on Siemens' supervisory board, said that in the event of a change of owners the union would insist that the 2,000 jobs in Augsburg and 500 jobs in Soemmerda be kept.

Shares of Siemens were up 3 percent at 47.84 euros in Frankfurt trading yesterday.