Freshlove1 From , joined Dec 1969, posts, RR:
Reply 1, posted (12 years 3 days 9 hours ago) and read 2168 times:
The turnaround is on, get rid of the upper people who put US in the position, hire better people with a sound business plan and lets get this thing rolling again like it was back in 1999/2000 I believe, but not exact, when US made a crazy amount of money. Profitibility is definatly in sight and I believe US will be there shortly
StevenUhl777 From , joined Dec 1969, posts, RR:
Reply 4, posted (12 years 3 days 8 hours ago) and read 2054 times:
A good strategy if you look at it from Bronner's worldview:
Unions hate the management and made a compelling enough case. Fine. He asks Siegel and Cohen (and others) to leave. With them gone, now the pressure gets put right back on the unions: more pay cuts/productivity gains or else. He's eliminating the biggest argument the unions have made about not making further cuts.
Logos From United States of America, joined Jan 2000, 810 posts, RR: 1
Reply 5, posted (12 years 2 days 21 hours ago) and read 1907 times:
lets get this thing rolling again like it was back in 1999/2000 I believe, but not exact, when US made a crazy amount of money. Profitibility is definatly in sight and I believe US will be there shortly
Unfortunately, it's not that easy. The main issues that US faces are the same as yesterday and they are labor cost & productivity. A new CFO does, as Steven pointed out, call the unions' bluff, but it does not magically produce the needed concessions.
A bunch of dot coms made a "crazy amount of money" in 1999 as well. Most of them no longer exist.
ScottB From United States of America, joined Jul 2000, 7501 posts, RR: 31
Reply 6, posted (12 years 2 days 21 hours ago) and read 1836 times:
I wouldn't exactly call this "house cleaning" -- Cohen had a provision in his contract allowing him to leave with a significant severance package; I believe that provision was tied to Siegel's departure. The subject actually came up in the earnings call last week (is Cohen going to leave?) and Lakefield danced around the subject at that time; the lack of a direct "no" at the time was a clear signal to me that Cohen was going to depart the company and take his golden parachute.
Look, unless the company's operation is revamped and costs are brought down through improved productivity and utilization, as well as some sort of additional savings from labor, this is little more than rearranging the deck chairs on the Titanic. The "new plans" announced by Lakefield in the last weeks are no different from what Siegel had been planning before his departure.