Siemens will cut $7.67 billion in costs by 2014 and will sell several assets,  in an effort to improve financial returns to shareholders, according to the Wall Street Journal.

The company reported a 27 percent drop in fiscal year profits, intends to sell water-treatment assets and has been unsuccessful so far in selling it Osram lighting business.

The Journal said the plan is a response to a weakening global economy and falling prices for many of Siemens' products.