The banks must be searching bins to fill in their treasury and firms cutting jobs to save expenses but a king that almost abruptly turned a pauper; Yahoo has decided to pull down the number of employees big time. The current number hovers at 14,000 plus employees but with the third quarter earnings to be announced on Tuesday, Yahoo has decided to perform a major cut to bring expenses down by 15%.
With so much tailoring in the firm, I guess it would be better for the present management to look out for newer modes of generating revenue as the stocks continue to fall. The last standing of Yahoo’s share stood at $12.90 that too after Microsoft coughed interest in the failing business.
I am sure that even Jerry Yang would now be crying his heart out as Yahoo’s current valuation stands at $17.88 billion almost one third of the $47.5 billion that Microsoft had offered (that Microsoft eventually pulled off from). Is there anyone to come out helping Yahoo? Well no one might be there to assist Yahoo, but the shareholders are ready to charge upon the board members, specially Yang who as always would get the worst criticism of all.
We’ll have to wait and see what the reports comes out with and more importantly what major decisions are taken. One thing is for sure, there will be a lot of complains about how the company has been run. And isn’t it obvious?
2 Trackbacks / Pingbacks for this entry:
[...] fall and what number of lay offs are announced by firms. We heard about Yahoo for ones ready to slice around 3000 of its employees and presently ValueClick, an online advertising firm has sold off two of its [...]
[...] had been waiting for this for the last couple of days and the focus wasn’t much on what the earnings are going to turn out but more on what number of employees are going to be axed. Well Jerry Yang waited for the meeting [...]