Featured Articles

Apple announces its Apple Watch

Apple announces its Apple Watch

Apple has finally unveiled its eagerly awaited smartwatch and surprisingly it has dropped the "i" from the brand, calling it simply…

More...
Skylake 14nm announced

Skylake 14nm announced

Kirk B. Skaugen, Senior Vice President General Manager, PC Client Group has showcased Skylake, Intel’s second generation 14nm architecture.

More...
Apple officially announces 4.7-inch iPhone 6 and 5.5-inch iPhone 6 Plus

Apple officially announces 4.7-inch iPhone 6 and 5.5-inch iPhone 6 Plus

The day has finally come and it appears that most rumors were actually spot on as Apple has now officially unveiled…

More...
CEO: Intel on target for 40m tablets

CEO: Intel on target for 40m tablets

Intel CEO Brian Krzanich just kicked off the IDF 2014 keynote and it started with a phone avatar, some Katy Perry…

More...
Aerocool Dead Silence reviewed

Aerocool Dead Silence reviewed

Aerocool is well known for its gamer cases with aggressive styling. However, the Dead Silence chassis offers consumers a new choice,…

More...
Frontpage Slideshow | Copyright © 2006-2010 orks, a business unit of Nuevvo Webware Ltd.
Wednesday, 06 November 2013 11:32

Acer suffers as CEO quits

Written by Nick Farrell



Words of profits are written on the subway walls

Shares of Acer plummeted after the company announced a restructuring plan with a new chief executive and a 7 percent reduction of its workforce.

Yesterday Acer CEO J.T. Wang resigned following news of the company's significant $446 million loss during the third quarter of 2013. He will carry on as Acer's chairman for another seven months, but he will be handing over the CEO reins to Acer President Jim Wong at the start of 2014.

It appears that his exit was due to announcing a $11.4 million loss where many analysts had expected at least some profit. An additional statement issued by Acer blames "the gross margin impact of gearing up for the Windows 8.1 sell-in and the related management of inventory."

Acer shares opened down 6.9 percent, the maximum allowed in a session, at T$16.9, in a broader market that was up 0.2 percent. Citi cut Acer's target price to T$13 after the announcement, saying the restructuring efforts could not change the PC company's outlook structurally, but reducing operating expenses through headcount reduction could buy time for management to reposition its business model.

Nick Farrell

E-mail: This e-mail address is being protected from spambots. You need JavaScript enabled to view it
blog comments powered by Disqus

 

Facebook activity

Latest Commented Articles

Recent Comments