Vodafone is expected to announce hundreds of job cuts when it reveals record annual losses today.

Up to 500 jobs could be lost at the group's Newbury headquarters, while a large number of posts worldwide will be outsourced to IT and network partners.

Results from the group, which has more than 400,000 Irish shareholders, are expected to show an improved operating performance, but a write-down on the value of assets - mainly on the acquisition of German firm Mannesmann in 2000 - will mean net losses of about £20 billion (€29 billion).

That would be the highest figure in British corporate history and greater than the £16.1 billion recorded by Vodafone in 2002.

Investors are expected to be unmoved by the accounting loss as the focus will be on how chief executive Arun Sarin plans to boost growth at a time when mobile revenue is slowing and operators face challenges from the internet.

Mr Sarin has held the top job for three years and is under increasing pressure because of the lacklustre performance of the company's share price.

His plan is likely to involve targeting fixed-line operators, with new services including a tariff that allows mobile customers to take advantage of low-cost calls if they are within two kilometres of their home.

The service is already available in Germany and will be rolled out to other European markets, including the UK.

The company will offer a fixed-line broadband product, involving a partnership agreement with another supplier.

Mr Sarin will take an aggressive line on costs, particularly in relation to the group's 60,000 strong workforce, as he prepares to outsource many back-office systems.

Lehman Brothers said last week it believed Vodafone had room to cut its head count by 10 per cent and achieve 15 per cent savings in IT and network operations through outsourcing.