B. Rosen: Compaq remains a core holding in any portfolio.
Published:
23 April 1999 y., Friday
Compaq Computer CEO Eckhard Pfeiffer resigned from the nation_s No. 1 PC maker , along with Chief Financial Officer Earl Mason. Chairman and founder Benjamin Rosen will take the helm, along with two other senior executives, until a replacement is found. Pfeiffer, who joined in 1983 and has led the company since 1991, was felled by a slump in earnings and a massive hit to the company_s stock price, amid a general slowdown in the PC industry. Compaq stock, which had surged as high as 511/4 earlier this year, has been in a freefall in recent months, highlighted by the company_s shocking admission on April 9 that first-quarter earnings would be about half of what analysts were expecting. On April 12, the first day of trading after the disclosure, the stock plunged 23 percent in a single day and last week showed no sign of rebounding. The company is expected to speak with analysts today, in advance of its quarterly earnings report due out Wednesday. Wall Street was very much on the mind of Rosen in yesterday_s announcement.'We will prove to every customer that this is the best company to serve their information technology needs. And we will confirm to our investors that Compaq remains a core holding in any portfolio,' he said. Compaq has been scrambling to broaden its product line beyond its traditional base of lower-end servers. Those moves were aimed at tackling rivals Hewlett-Packard and IBM head on in the PC wars. It has also been wrestling with competition from direct-to-consumer computer makers such as Dell Computer and Gateway 2000. Mason_s duties will be assumed by Compaq Treasurer Ben Wells on an interim basis while the company searches for a permanent replacement. The company said that Mason is leaving to become CEO in an 'unrelated industry.'
Šaltinis:
New York Post
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.
The most popular articles
On 22 of June this year, the board of the newly established company of AB Bank SNORAS - UAB “SNORO Media Investicijos” - made a decision to invest in the shares of UAB “Lietuvos rytas” and to acquire 34 per cent of the authorised capital of the company.
more »
The Banker's Exchange is joining forces with Chicago-based Intergam Logistics as part of a global expansion initiative into the ATM support market.
more »
Lisbon treaty and financial supervision dominate debate at EU summit.
more »
In the most sweeping financial reform proposal since the Great Depression, President Barack Obama unveiled plans to overhaul the U.S. financial regulatory system, saying the events that led to the U.S. financial crisis make the proposed changes necessary.
more »
Due to the rising concerns on a possible disruption of Russian gas supplies to Europe coming through Ukraine, the Commission has chaired a meeting of the Gas Coordination Group to assure a stronger EU coordination and to secure energy supplies to European citizens.
more »
Mexico signs an agreement with Google to help revive tourism at its historical sites, after the swine flu epidemic.
more »
The recession could hit working women harder than men, an EU study warns, underscoring persistent disparities between the sexes in the European labour market.
more »
The first 4 months of 2009 saw 25 percent more FBI background checks on prospective firearm buyers compared to the same period last year in US.
more »
AS “Latvijas Krājbanka”, managed by AB Bank SNORAS, was presented with the annual prize of Deutsche Bank AG, one of the largest European banks, for the excellent quality of the outgoing payments.
more »
Danske Bankas has made another increase in the interest rate for fixed-term deposits in litas for both private and corporate clients.
more »