Wading my way through Richardson's "Clarissa," the title's homophonous similarities to our corporation in question struck me, and I thought I'd better check in with my message mates. Admittedly, my musings could not possibly prompt one to buy, hold, or sell, unless one believes--as I do--that the meanings of "Work Ethic" and "Management Basics" must be familar to key players--and practised--especially in economically tough times.
We are disappointed to learn that a most capable product management head, Tom Barnes, was pushed aside to make way for another of SJ's cronies as the latter continues to surround himself with friends who will close ranks. My understanding is that the gentleman promoted in Mr. Barnes's stead was relieved of his development responsibilities and then moved to marketing before being re-assigned this current position. Hmmm.... This guy is making more lateral moves than a sidewinder, and one must ask why management can't settle on a spot that best utilizes his skills.
It would seem, too, that investing in sales and marketing, rather than divesting, would be occurring in a company wishing to drive revenues by such--a not entirely untried method of generating profit in the more solid and successful corporations. Perhaps Clarus is simply trying to save it's way to profitability, a dubious strategy at best.
We hear, too, that another lawsuit might be heating up, calling into question the honorability and capability of key individuals within the corporation as well as corporate sales policies. As we know for a fact that Clarus has refused to honor certain employment contracts on a much smaller scale economically, we can only wonder how pugilistic they would become were millions at stake--and if defending their positions might siphon off any remaining management energies.
Finally, we hear a few uppers have porked up, perhaps in preparation for their winter hibernation. It's not too late for them to take up a more aerobic sport than golf.... (Just a touch of tension-relieving humor here, my golfing friends; no response necessary.)
My recommendation remains a strong McLaughlin (sp?) "Bye Bye" for the time being, though Midas knows I'd love a gifted touch that would burnish my tarnished shares to gold.
Back to Richardson--don't ask why. Dense and protracted as he is, at least he does not practice the circular logic that, in my opinion, rules at Clarus.
Sj is definitely in question and the sales and marketing reductions don't jive with a high growth co.. Nonetheless with a good product-130 million in cash and 60 million in mkt cap. great buy!!! mkts oversold so is clarus
What employment contracts were there, that were not honored. I thought Georgia is a hire / fire / resign at will state. Were people let go for performance issues. Certainly, the last guidance showed that many from SJ on down did not perform as expected.
Please provide an explanation regarding ... the uppers who have porked up ... or words to that effect.
Once upon a time an executive-at-large was in great demand by Clarus. SJ himself wanted the then president to "do what it takes" to get this man on board. What it took was a six-month golden parachute severance package which was agreed upon and signed by all. When this executive left, not for performance reasons, it was SJ himself who contested the employment contract, wishing to whittle it down retroactively to Clarus's standard three-month package.
Attorneys were consulted, alas retained. The law was clear: In a court of justice, the employment contract would hold. But Clarus was willing to spend what it took to fight it, and the departing executive was not. Three months' severance was eventually settled upon.
The term used to describe a failure to honor one's commitments is "dishonorable." Perfectfilly would be perfectly pleased if future prospective hires at Clarus were to have their attorneys review carefully the severance terms of their contracts lest today's even tighter coffers inspire more rescinding of offers.
Some of the top brass at Clarus are professed Christians, including major Board members. I am sorry to report that Perfectfilly now believes some of their religious professions translate into "Hold onto your wallets!" as they say in Texas. Future hires would be prudent to heed that exhoration.
You cheeky little Tex-o-tease. But not sneaky enough: You will not tease out of me specifics regarding the names of weight gainers in the top lines. It is, afterall, the bottom line of the corporation and not the bottom lines of the executive team that should be our rightful concern. Perfectfilly stands ashamed to have sunk so low.
And Perfectfilly must sign off now again for a week or so, stating on the way out how much she (aha!) has enjoyed chatting with this message group. She must also reiterate her wishes for prosperity at Clarus, and her inability to predict future success or failure. She may know people well. But she is no financial wizard by any means. Buy, hold, or sell based upon your own more panoramic analyses.
Tex...Leave Perfecfilly alone! He or she definately has some insight as to the the goings on within this company and its pathetic management team. Left to their own devices (and it appears they are)...this company is done. If you feel inclined to buy this stock...then do so. Your only hope for a profit is for a buyout.