Wednesday, September 21, 2011

Tis the season to sack CEO's... fa la la la la, la la la la

Tech companies seem to be in desperate straights to boost their stock up just before the September/October season of mutual fund reports.  Since corporations are lacking fundamentals, the next best thing is to sack the CEO, blame him/her for the problem, and then pretend its time for the dreaded 'reorganization', which is simply a silly show for Wall Street, but accomplishes little.

Rumors are abound that Hewlett-Packard is ready to cast their leader to the wind, which follows the recent purge of Yahoo's head victim.

No worries though... like most sacked CEO's, they will quickly find themselves hired by another Fortune 500 company simply because in America, titles are more important than ability.

When all else fails, scapegoat, which in corporate America means fire your CEO. According to a headline from Bloomberg right now, HPQ (and soon many other companies) will follow Yahoo in dumping its CEO, Leo Apotheker. The result: a surge in the stock. Our question: will Leo draft his "WTF" letter from an iPad as well? Expect the Netflix board to "spin off" its CEO next. - Zerohedge


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