Times of Oman
Price in RO
24ct / gm
22ct / gm
Forex Rates vs R01
Back to Homepage
BlackBerry loses $965 million in 2nd quarter
September 27, 2013 , 6 : 09 pm GST
SAVE THIS ARTICLE
Passers-by walk in front of a BlackBerry service centre in Jakarta September 25, 2013. Photo - Reuters/Beawiharta
Canadian tech pioneer BlackBerry, which earlier this week agreed to a $4.7 billion buyout, said Friday that it lost $965 million in the second quarter.
The Ontario-based company, formerly a leader in mobile phone technology, has been squeezed by rivals Android and Apple, steadily losing market share, a trend which continues according to its latest earnings report.
"We are very disappointed with our operational and financial results this quarter and have announced a series of major changes to address the competitive hardware environment and our cost structure," said BlackBerry CEO and President Thorsten Heins.
He added that the company is putting in place "the necessary changes to create the best business model" for its ailing product.
"We understand how some of the activities we are going through create uncertainty, but we remain a financially strong company with $2.6 billion in cash and no debt," Heins said.
"We are focused on our targeted markets, and are committed to completing our transition quickly in order to establish a more focused and efficient company."
BlackBerry announced this week that it signed a letter of intent with a group led by Fairfax Financial Holdings Limited, which has offered to acquire the company.
Fairfax, a Canadian firm headed by billionaire Prem Watsa, is already BlackBerry's largest shareholder with approximately 10 percent of its shares.
Watsa resigned from BlackBerry's board in August when it announced a search for a suitor.
Under the proposed BlackBerry-Fairfax deal the consortium would offer $9 for each outstanding share, and Fairfax would contribute its own shares in the transaction.
BlackBerry said its board supports the plan.
A firm deal, once due diligence is completed, is expected by November 4. It also hinges on the consortium obtaining financing.
Rate this Article
Rates : 0, Average : 0
Post a Comment
Did you like this section? Leave a comment!
Your Name :
Your Email Address :
Your Comment :
Enter ImageText here:
No Comments Posted
Latest in this section
Takaful Oman Insurance IPO mops up OMR23m
US team explores investment in several sectors in the Sultanate
alizz islamic bank unveils premium Sharia-compliant credit cards
Workshop focuses on sustainable development
MSM index ends lower amid high Al Madina Takaful activity
TOP RATED ARTICLES
Six killed in road mishaps
Fahad Al Mukarashi
World leaders, South Africans say rainy, raucous farewell to Mandela
Embarrassed to ‘overtake Viv’
Clarke aims for Ashes, top ranking
Arjun Kapoor's next film to be titled 'Tevar'
More in News
How to choose your writing form and communicate your creative thoughts
Natasja Engholm - Special to Times of Oman
Indonesia's illegal dentists bite back after ban
Albanian cannabis fiefdom at heart of European traffic
Asia's animators draw inspiration from Miyazaki
Splash 'Forever More'
Times News Service
More in Features
I would have voted yes to Scottish independence
Musharraf is ready for trial, but is the government?
Of Middle East and the Arab winter
France ill at ease with US policy shift in M-E
The harsh reality of mass migration from Syria
More in Columns
Get Top news by E-mail.
Copyright © 2012 Muscat Press & Publishing House SAOC. All rights reserved. Times of Oman is not responsible for the content of external internet sites.
For reprint rights contact:
TOO Online Editorial