DUBLIN, Ireland — Debt-ridden crystal and china maker Waterford Wedgwood PLC reported falling sales and increasing first-half losses Thursday and warned it could be forced to shut down if a major new investor cannot be found to bail it out.

For the six months ending Oct. 4, the Dublin-based company reported its net loss rose to euro75.8 million ($96.7 million) versus a euro57.1 million loss in the first half of 2007. First-half sales fell 15.4 percent to euro207.6 million ($265 million).

The biggest losses occurred at the company's Waterford Crystal plant in southeast Ireland, where several hundred workers are receiving five-figure layoff packages as production shifts to lower-wage subcontractors in Eastern Europe. Red ink diminished at the Wedgwood ceramics division, which has moved most production from the English heartland to Indonesia.

Waterford Wedgwood earlier this week said it had been forced to ask its chief creditors for "forbearance" because the company can no longer pay its loans on time or in full.

It reiterated Thursday that the company _ which is chiefly owned by publishing magnate Sir Anthony O'Reilly and his brother-in-law Peter Goulandris _ must attract a major new investor soon because its latest share flotation failed to attract sufficient interest.

In a statement, Waterford Wedgwood said it remained confident of negotiating new loan repayment conditions and securing more private investment. Failure to achieve either one, it warned, "would compromise the group's ability to continue as a going concern."

Waterford Wedgwood shares have been virtually worthless for months. They were unchanged Thursday on the Irish Stock Exchange at one-tenth of a euro cent (3/25ths of a U.S. cent). This reflects the fact that the company's assets are worth only a fraction of its debts, which grew 7 percent over the past year to euro448.9 million ($572.4 million).

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The company reported a few hopeful signs Thursday: increasing market share of U.S. crystal sales, albeit in a shrinking market, and increasing American profits because of the recently strengthening U.S. dollar. American sales traditionally account for about half of Waterford Crystal sales.

Nonetheless, Thursday's results showed that the Irish crystal side of the business has become the biggest loss-maker, shedding euro33.4 million in the first half of 2008 versus recording a euro7.1 million profit in the first half of 2007. By contrast, losses at the company's Wedgwood ceramics division narrowed to euro16.2 million from euro26.3 million.

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On the Net:

http://www.waterfordwedgwood.com