Motorola revelead today its plans to solve its financial crysis by creating two independent, publicly-traded companies. The decision  follows the company’s January 31, 2008 announced evaluation of the structural and strategic realignment of its businesses.

“Our decision to separate our Mobile Devices and Broadband & Mobility Solutions businesses follows a review process undertaken by our management team and Board of Directors, together with independent advisors,” said Greg Brown, Motorola’s president and chief executive officer. “Creating two industry-leading companies will provide improved flexibility, more tailored capital structures, and increased management focus – as well as more targeted investment opportunities for our shareholders.”

Motorola reported fourth quarter earnings of $100 million, a small amount considering the company’s historical standards. The net income was of 4 cents per share and was down from a year-earlier profit of $623 million, or 25 cents per share. Sales fell to $9.65 billion from $11.79 billion a year earlier.

Based on current plans, the creation of the two stand-alone businesses is expected to take the form of a tax-free distribution to Motorola’s shareholders, subject to further financial, tax and legal analysis, resulting in shareholders holding shares of two independent and publicly-traded companies.

According to Motorola’s statement, the Mobile Devices business will be to one that will design, manufacture and sell mobile handsets and accessories globally, while the Broadband & Mobility Solutions business will include Motorola’s Enterprise Mobility, Government and Public Safety, and Home and Networks businesses.

“Our priorities have not changed with today’s announcement,” added Brown. “We remain committed to improving the performance of our Mobile Devices business by delivering compelling products that meet the needs of customers and consumers around the world.”

Brown also announced that Motorola will launch a search for a new chief executive of the Mobile Device business. The US company has lost its second position in the cell phone business to the South Korean company Samsung.

Greg Brown replaced Ed Zander as Motorola’s CEO in January this year. Under Zander’s leadership, the company sold more than 100 million units of the RAZR over three years, making it the best-selling cellphone in the history of the industry. But the compnay failed to repeat its success.