Robert, what CEO is going to want to join ISIl and have his first action be to fire 18% of the workforce? Diller is doing the dirty work for the new CEO. However, having said that I still think the best value for shareholders will be a sale of the company. Short of that expect the board member from NSM to be the new CEO who will try to salvage the mess Diller helped create.
yeah, either they have a new ceo on the hook and they cleaning for him, (could be mcleod), or they have a few deals on the hook and they want better financial projections for next quarter to close a deal. Either way this protects the dividend and gets any potential buyer a little more motivated.
I think that depends on what the new CEO is tasked to do. Some executives are "fixers" and would prefer to diagnose and take action as they see fit. Personally I think the bleeding is bad enough to force action faster than waiting for the CEO. But yes..your point is well-taken. Regarding a possible sale I would definitely do the trimming first. A buyer does not have time to ramble through the details of Intersil's operation to see what needs to be "fixed" after a purchase. It's more expedient to prune the tree to make it look for favorable for a sale. Smart buyers are loathe to increase their op-ex without a corresponding match in operating icome. The next few weeks should be interesting.