Guess what more job layoffs -Yahoo to cut 5 percent of jobs

Discussion in 'Political Zone' started by Kangaroo, Apr 21, 2009.

  1. Kangaroo

    Kangaroo Active Member

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    Yahoo to cut 5 percent of jobs

    Tue Apr 21, 2009 5:23pm EDT
    SAN FRANCISCO (Reuters) - Yahoo Inc said it would cut 5 percent of its global workforce, after reporting a quarterly profit that met Wall Street expectations thanks to cost cuts that offset declining revenues.
    The Internet company said it would also continue to implement unspecified "non-headcount cost reductions," so that it can increase its ability to make strategic investments and target hiring in its core operations.
    "It's crucial that management adjusts the cost structure to the new growth (or lack thereof) realities; so margin protection is paramount to Yahoo right now," Youssef Squali, analyst at Jefferies & Co, said in an email. "We think there is potential outperformance on margins," he added.
    Shares of Yahoo rose 1.7 percent in after-hours trading to $14.63.
    Yahoo said last October that it would cut about one-tenth of its workforce, or about 1,500 jobs. The company finished 2008 with roughly 13,600 employees, and said it would take severance charges from the new round of layoffs during the second quarter
    In the first full quarter under the leadership of Chief Executive Carol Bartz, Yahoo generated revenue of $1.58 billion, down 13 percent from the year-ago period.
    Excluding traffic acquisition costs (TAC), Yahoo's revenue was $1.16 billion, compared with the average analyst expectation of $1.2 billion, according to Reuters Estimates.
    The Sunnyvale, California-based company reported a net profit in the first quarter of $118 million, or 8 cents a share -- down from $537 million, or 37 cents a share, a year earlier. Wall Street analysts, on average, had forecast earnings at 8 cents a share, according to Reuters Estimates.
    Chief Financial Officer Blake Jorgensen told Reuters there were "still very dark clouds on the horizon" for the economy.
    "I'll try to resist calling the bottom in any way," he said in a phone interview.
    Yahoo projected that sales in the current quarter will range between $1.425 billion and $1.625 billion.
  2. Jordan55

    Jordan55 Active Member

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    Anyone starting to question weather the Dems have a solution to righting this economy, I for see another stimulus package, were going to spend our way out of this that's the answer.

    Caterpillar Inc., the bulldozer manufacturer President Barack Obama used to help push his $787 billion stimulus plan, called the program disappointing and less effective than measures approved by China.

    “The infrastructure portion of the stimulus package was disappointing in that it was less aggressive than other countries and missed an opportunity to correct past underinvestment in U.S. infrastructure,” Caterpillar said in economic commentary with today’s first-quarter earnings report.

    Caterpillar today reported its first net loss in 16 years as a global credit crunch and recession reduced demand from builders and miners.

    “You can measure America’s bottom line by looking at Caterpillar’s bottom line,” Obama said during the February visit. “What’s happening at this company tells us a larger story about what’s happening in the American economy.”

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