1/24/03
Level
3 Communications Inc. said it has won court approval for its
$242 million acquisition of the assets of Genuity Inc., the bankrupt
IP carrier. The companies expect to close the deal some time in
February, but layoffs are expected. As a result of the acquisition,
Level 3 will immediately lay off up to 800 of Genuity's 2,300 employees.
The company said 1,400 to 1,500 employees would be offered positions
for the duration of the "transition", but could not give
numbers on how many will be offered permanent jobs.
1/24/03
Corning Inc., the world's largest maker of fiber-optic
cable, has been urged to make further job cuts after its earnings
showed deepening losses and little prospect for a telecommunications
recovery in 2003. Analysts suggested that another 3,000 to 4,000
job cuts might be necessary to get the firm turned around.
1/23/03
Brocade Communications Systems Inc. said it would take
an $8 million to $12 million charge in its fiscal first quarter
for its restructuring program. The maker of networking-storage gear,
based in San Jose, Calif., said it reduced its work force by about
12%, or about 150 employees, during the quarter.
1/23/03
JDS Uniphase Corp. reported a sharply narrower fiscal
second-quarter net loss, as year-earlier results were weighed down
by goodwill amortization and other items. JDS said it is undertaking
further work-force reductions and site closures but didn't offer
specifics. JDS said it has 7,000 employees, down from 8,000 in October
and 29,000 at its peak in early 2001.
1/23/03
Citgo Petroleum Corp.'s president said the company would
cut capital spending, delay a $250 million public offering and reduce
inventories to minimum levels this year to boost cash flow that
has been hurt by the seven-week work stoppage by Venezuelan oil
workers.
1/23/03
National Century Financial Enterprises Inc. will cease
operations in the next few months after the restructuring experts
brought in to revive the scandal-ridden health-care financier decided
that its problems were even more widespread than originally thought.
1/22/03
Eastman
Kodak Co., tripped up by falling film sales and a plunge in
print-making, reported fourth-quarter earnings that were worse than
analysts expected, and announced another round of layoffs. Kodak
said it will slash 2,200 jobs this year, or about 3% of its work
force. Many of the dismissals will occur in the company's photo-finishing
business.
1/21/03
Russian chess champion, Garry Kasparov, is involved in
a nasty dispute over a failed Internet company. His company, Kasparov
Chess Online Inc., or KCO, began shutting down its Web site
six months ago after running out of cash. Mr. Kasparov's lawyer
says his client has been seeking support from the other shareholders
to file for liquidation under Chapter 7 of U.S. bankruptcy law.
But for now First International Bank of Israel, which lent $1.5
million to KCO and hasn't been repaid, is trying to recoup its losses.
1/21/03
Rupert Murdoch's News Corp. officially put the
Los Angeles Dodgers on the block, and is already in talks with potential
buyers, according to people familiar with the situation.
1/20/03
BP will cut around 1,000 jobs from its U.S. operations,
as the British oil and natural-gas giant moves to boost efficiency
after missing production targets last year.