Spectre of layoffs looms over Intel following dismal sales

More layoffs may be imminent at Intel following the x86 giant's $2.8 billion Q1 loss. Posting last week on Blind, a popular spot for techies discussing impending layoffs, one employee wrote that the corporation's Client Computing Group (CCG) was seeking volunteers, and that an involuntary round of layoffs would follow if there …

[Richard 12]

Those paper losses would be much smaller if they hadn't paid a dividend - but the people deciding to pay the dividend would have received a lot less cash.

It's past time to acknowledge that the whole "share price first" idea is a total failure. It doesn't even help shareholders, as shareholder returns have in fact fallen greatly since this idea gained traction.

[ragnar]

"Those paper losses would be much smaller if they hadn't paid a dividend"

No they wouldn't. Dividends are taken out after the profit or loss for the period. They don't feed into that number.

[John Brown (no body)]

But surely if they made a 1/2 years loss of $3.3B and gave out a dividend of $1.5B, they still have $1.5B less than if they'd not paid a divi in a loss-making year? So their effective "loss" is really $4.8B It feels very wrong that shareholder should make a profit with a hand-out when the company made a loss. The shareholders own the company and ought to be taking a loss along with their company. If it's a loss-making year, the shareholders only "profit" ought to be in the value of their shares, not a cash bonus. Something many seem to forget is that "The value of shares may go down as well us up."

[trevorde]

Looking after the people who matter the most

Shareholders - screw everyone else!