So what do the layoffs really mean to us as investors?
In short - good news - do NOT second guess it.
The ONLY reason that the reduction in Genworth labor does not IMMEDIATELY translate into bottom line cash for the company in 2013 is because the compensation arrangements often provide for extended benefits as part of the various severance packages.
Short term the layoffs are actually a cost BUT investors don't look short term (which is why guidance is so critical).
Dog - as a long term bull on these shares I think the major factor holding these shares back is low and extended low interest rates. If Ben & Co. signal continued Fed bond buying after tomorrow's numbers, we may see these shares sag (again).