Posted on 05/04/2005 1:51:07 PM PDT by Sub-Driver
IBM to Cut Up to 13,000 Jobs, Take Charge Wednesday May 4, 4:29 pm ET IBM to Cut 10,000 to 13,000 Jobs, Record Pre-Tax Charge of Between $1.3 and $1.7 Billion in 2Q
NEW YORK (AP) -- International Business Machines Corp. said Wednesday it would cut between 10,000 and 13,000 jobs and record a pre-tax charge of between $1.3 billion and $1.7 billion in the second quarter.
IBM surprised investors last month when it missed first-quarter earnings estimates by 5 cents a share. When it reported earnings, the chief financial officer Mark Loughridge said the company would take a "sizable restructuring."
The majority of the cuts are planned for Europe. The company began cutting jobs at its European operations even before it announced its first-quarter earnings. The cuts are in line with analysts' estimates.
The company plans to realign its operations and organizational structure in Europe to reduce bureaucracy in lower-growth countries.
IBM stock traded on the New York Stock Exchange at $77.07 a share, up 60 cents, late Monday.
Why don`t they give the finger to the unions and hire illegals? Everybody`s doing it and it`s fun and cheapo! Weeeeeeeeee!
IRVING BERLIN lyrics - "Everybody's Doin' It Now"
[1st verse:]
Honey, honey, can't you hear?
Funny, funny music, dear
Ain't the funny strain
Goin' to your brain?
Like a bottle of wine, fine
Hon', hon', hon', hon' take a chance
One, one, one, one little dance
Can't you see them all
Swaying up the hall
Let's be gettin' in line
[Refrain:]
Ev'rybody's doin' it
Doin' it, doin' it
Ev'rybody's doin' it
Doin' it, doin' it
See that ragtime couple over there
Watch them throw their shoulders in the air
Snap their fingers
Honey, I declare
It's a bear, it's a bear, it's a bear
There!
Ev'rybody's doin' it
Doin' it, doin' it
Ev'rybody's doin' it
Doin' it, doin' it
Ain't that music touching your heart
Hear that trombone bustin' apart?
Come, come, come, come let us start
Ev'rybody's doin' it now
[2nd verse:]
Baby, baby get a stool
Maybe, maybe I'm a fool
Honey, don't you smile
Let us rest a while
I'm so weak in the chest, best
Go, go, go, go get a chair
No, no, no, no leave it there
Honey, if the mob
Still are on the job
I'm as strong as the rest
IBM seems to be following the trail blazed by AT&T on its way to obscurity.
Along with Digital and Wang.
What does this have to do with Lenovo?
I thought the Gates-haters were saying that IBM was about to wipe out Microsoft with new and innovative software developments.
Wang! Now there's a blast from the past.
I used to have friends who worked at Digital back in the glory days. Seemed like it was a great place to be, then. Then Compaq came along and ruined everything (and don't get me started on HP).
IBM is far from going the way of AT&T.
As far as I know, IBM doesn't have any unions, at least, in the US. That's why they're allowed to downsize.
True, but in some European countries, a six month notice has to be given before a person can be attrited.
It's much harder to cut jobs in Europe than in the US.
I've never understood why IBM doesn't use more agents in Europe and Asia, instead of their own employees.
Looks like IBM's major wager on Linux and open source to drive future sales in Europe has blown up in their face big time. Of course, some of us saw this coming a couple of years ago, and have been predicting it all along, right here on Free Republic.
They invested millions in the highest profile deal of all, to convince the city of Munich Germany to use Linux instead of the standard Microsoft products, which Munich did, but instead of picking IBM for the installation and support, they chose some little company in Germany that is taking a free copy of Linux and slapping their name on it instead. And why wouldn't they.
http://www.freerepublic.com/focus/f-news/1385002/posts
http://freerepublic.com/focus/f-news/1059540/posts
http://freerepublic.com/focus/f-news/919045/posts
http://www.freerepublic.com/focus/f-news/1154643/posts
They've been shouting it from the rooftops ever since IBM stabbed a stake in the heart of the US UNIX business and started pushing Linux on us instead. Doesn't look like it's working out too well for IBM. Microsoft? Record profits every quarter.
No specific explanation for a $1.5b charge?
The lawyer who once employed me years ago had a top-of-the-line Wang, but it was too old to use.
Wow, THAT didn't sound right at all....
The cost of trying to sell free software.
Nope. You're a little behind the times here, GE.
Munich chose Debian, an American company, for it's implementation.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.