Intel sued again over struggling foundry business Beleaguered chipmaker Intel has been sued yet again by shareholders over its foundry business, this time in a derivative lawsuit targeting executives and board members. A derivative lawsuit, such as a similar claim filed in June, is brought by investors on behalf of the company, which receives any damages awarded as a result …
"You don't like what the comapny is doing ?
Sell your shares."
Or.... change the management who manage the company on your behalf.
This tendancy to think the answer to any problem is to sue is insanity. If you are sorting to law to resolve issues you have already lost.
Normally, I think shareholders suing a company is ridiculous, but one which takes money back from Execs and gives it back to the company is something I can totally get behind!
Nobody deserves a pay packet of $200 million over 3 years. Nobody!
On the other side, whilst Foundry does seem to be floundering, it was known from the start that it would be years before it started to turn a profit. It was also more a way to protect the company from being completely reliant on outside firms for its hardware. That was always going to be an expensive, and long term proposition, something that the stock market is notoriously bad at understanding.
So I hope this lawsuit passes and Intel get money back from the board and C-suite. But the other lawsuit falls and the shareholders get nothing!
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