RIM's Earnings: Get Ready for a Snoozefest This Time
Written by: Rocco Pendola
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RIMM AAPL
Q2 2012: ... E arly results from the BlackBerry 7 launch are strong ... We anticipate acceleration of the uptake of BlackBerry devices for the remainder of the fiscal year and into 2012 ... Q2 2012: Given the lower-than-expected earnings in the second quarter, we expect full-year adjusted diluted earnings per share, excluding changes related to the cost optimization program, to come in towards the low end of our guidance range of $5.25 to $6.
Q3 2012: The last few quarters have been some of the most trying in the recent history of this company. Q3 2012:
Co-CEO Mike Lazaridis and I have asked the Compensation Committee to make a change to our cash compensation, such that our salaries will be reduced to $1 per year effective immediately.
( RIM ended up reporting adjusted EPS of $4.40 for FY 2012.)
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Of course, shortly after that call, Balsillie and Lazaridis both stepped down. Just last week we learned exactly how much of a slap in the face the token "$1 per year" salary gesture was to investors.
Lazaridis remains vice-chair of the board, has a company car with driver, a "dedicated" office at RIM and a payout of about $3.9 million. According to The Globe and Mail, Balsillie walks away with a package worth almost $8 million.
I'm not sure how you run a company into the ground and miss so horrifically on guidance so many times yet still snag $12 million out of a dying company's coffers.