And B&E’s Karan Mehrishi analyses why...
AMD lost money dispite of being an intellectually driven company operating in a progressive environment. The world’s second largest semiconductor player lost close to $3.3 billion in 2007. Generally, analysts contend that AMD’s loss per share will be in the vicinity of $0.5–0.8, on revenue this quarter. The 15% fall in revenue has resulted in the lay offs involving over 1,500 workers by a company, which has a history of employee retention in even adverse conditions. AMD controls 23–24% of the semiconductor market, and was banking on the latest generation ‘Barcelona series’, which has been delayed for launch. With the worldwide semiconductor sales will not slated to grow more than 5–6% through the next two years, growth would be a major issue.
While the $7.7 billion losses reported by Merrill Lynch are basically due to the US housing slump and the mortgage crises, even Freddie Mac, which reported over $3 billion in losses, suffered due to similar reasons. According to their official press release, quoting Richard F. Syron, Chairman and CEO, Freddie Mac: “Without doubt, 2007 has been an extremely difficult year for the country’s housing and credit markets; and... we have been impacted by the deterioration in these markets.” Analysts ague that bad debts could have been a major issue here, as according to some reports, individual defaulters have increased. Explaining his company’s position, Buddy Piszel, CFO, said, “You can see the impact of these trends in our credit results and throughout our financial statements. Year to date, we have recognised $4.6 billion in net credit related items on a pre–tax basis.” Clearly, American companies have worse to come round the corner, what with the economic recession gathering speed faster than George Bush leaving office. Well, they can count on at least one person, me. Same time, same day, next year, as the California Governor so succintly says, and I quote, “I’ll be back!”
Read more.....
For More IIPM Info, Visit below mentioned IIPM articles.
2012 : DNA National B-School Survey 2012
Ranked 1st in International Exposure (ahead of all the IIMs)
Ranked 6th Overall
Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri’s Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
IIPM’s Management Consulting Arm-Planman Consulting
Professor Arindam Chaudhuri – A Man For The Society….
IIPM: Indian Institute of Planning and Management
IIPM makes business education truly global
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM B-School Facebook Page
IIPM Global Exposure
IIPM Best B School India
IIPM B-School Detail
IIPM Links
IIPM : The B-School with a Human Face
AMD lost money dispite of being an intellectually driven company operating in a progressive environment. The world’s second largest semiconductor player lost close to $3.3 billion in 2007. Generally, analysts contend that AMD’s loss per share will be in the vicinity of $0.5–0.8, on revenue this quarter. The 15% fall in revenue has resulted in the lay offs involving over 1,500 workers by a company, which has a history of employee retention in even adverse conditions. AMD controls 23–24% of the semiconductor market, and was banking on the latest generation ‘Barcelona series’, which has been delayed for launch. With the worldwide semiconductor sales will not slated to grow more than 5–6% through the next two years, growth would be a major issue.
While the $7.7 billion losses reported by Merrill Lynch are basically due to the US housing slump and the mortgage crises, even Freddie Mac, which reported over $3 billion in losses, suffered due to similar reasons. According to their official press release, quoting Richard F. Syron, Chairman and CEO, Freddie Mac: “Without doubt, 2007 has been an extremely difficult year for the country’s housing and credit markets; and... we have been impacted by the deterioration in these markets.” Analysts ague that bad debts could have been a major issue here, as according to some reports, individual defaulters have increased. Explaining his company’s position, Buddy Piszel, CFO, said, “You can see the impact of these trends in our credit results and throughout our financial statements. Year to date, we have recognised $4.6 billion in net credit related items on a pre–tax basis.” Clearly, American companies have worse to come round the corner, what with the economic recession gathering speed faster than George Bush leaving office. Well, they can count on at least one person, me. Same time, same day, next year, as the California Governor so succintly says, and I quote, “I’ll be back!”
Read more.....
Source : IIPM Editorial, 2012.
An Initiative of IIPM, Malay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).
and Arindam Chaudhuri (Renowned Management Guru and Economist).
For More IIPM Info, Visit below mentioned IIPM articles.
2012 : DNA National B-School Survey 2012
Ranked 1st in International Exposure (ahead of all the IIMs)
Ranked 6th Overall
Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri’s Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
IIPM’s Management Consulting Arm-Planman Consulting
Professor Arindam Chaudhuri – A Man For The Society….
IIPM: Indian Institute of Planning and Management
IIPM makes business education truly global
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM B-School Facebook Page
IIPM Global Exposure
IIPM Best B School India
IIPM B-School Detail
IIPM Links
IIPM : The B-School with a Human Face
