We are obviously shedding weight to appeal to a buyer. Positions aren't being filled from corporate to smallest cog in the minor offices. When you lose technical service representatives for multiple rounds of lay offs, something more is happening behind the scenes.
Do they tender an offer before year end or wait until next year?
20 replies (most recent on top)
@2dyr+1j37zpZ7, So xerox will be out of business by Nov 1st? Dividend says nope!
@1zvq+1j37zpZ7 @1prc+1j37zpZ7 @1apr+1j37zpZ7
Proof that Xerox might be running out of liquidity (ability to use current assets to meet current or short-term liabilities):
- December 31, 2021 working capital was circa $1.9B
- June 30, 2022 working capital was $0.7B
- 6 months ended June 30, 2022 Xerox has burned out $1.2B
- Current cash burn rate is $0.2B / month
- If rest of things keep going as they have gone so far (revenue, cost of sales, profit, etc), Xerox might run out of liquidity THIS MONTH (October).
FYI (if you are not familiar with financial statement metrics):
- Working capital, also called net working capital, represents the difference between a company’s current assets and current liabilities.
- Working capital is a measure of a company’s liquidity and short-term financial health.
Twice Nothing is Still Nothing.
Start the bidding: How much is Xerox’s global production MIF and (snicker/facial tick) infrastructure worth?
@1apr+1j37zpZ7, Ahhh. You see the distinction: They aren’t out of cash. They are out of cash for you/customers. Shareholders get first dibs at the bowl. Whatever scraps are left are for your duct tape budget.
To the person with who wants proof that we are out cash; We can't get parts. I'm not just talking out of stocks. I'm talking we can't buy them. The behind the scenes scramble to rip parts off of old copiers is at an all time high. Why can I find a part on amazon or ebay but Xerox can't seem to find it? It's our part and we can't get it?
@1tfb+1j37zpZ7, Ricoh wants to transition out of print. All their acquisitions have been small medium av / IT msp companies to help legitimize / tu-d polish their so weak digital services offering. Could ricoh get suckered back in via xrx production buy and push out their exit strategy for a few years in xchng for clicks rev and ultimately selling what’s left to dealers? Yah maybe but that’d be counter to re-position investment: I’ve seen them do way d-mber things.
https://www.bloomberg.com/news/articles/2021-03-04/ricoh-set-to-jump-as-investors-hail-buyback-shift-from-printers
Ricoh has cash and could buy whatever it wants. Xerox production market share is valuable to them, wait and see.
I agree with the comment that they are cutting to pay dividends. The company’s revenue continues to decline, only way to show profit is through cuts. The sale idea sailed a while ago.
@1prc+1j37zpZ7, Out of cash? Any specific info or are you just making big vague statements based on sentiments?
Xerox is a sinking ship! One boat, right?!? Well this boat is going down fast. Grab your popcorn it’s going to get interesting!
X-rox is out of cash and will be bankrupt by end of year. There are not enough "resources" left now to cut in order to offset expenditures.
When your business is in trouble but you want stay in business and tip the scales in a positive direction, you cut from the top.
When your business is failing and you want out you cut from the bottom.
No buyers.
Xerox has managed to hold its head above water many ,many times..
This time there may be no happy ending …
The company is financially tapped out. These cuts are done just to reduce the payroll that is getting harder to cover every month. There will be a new owner by the end of the year.
They’re shedding weight to feed the dividend.
Lost cause completely
THERE ARE NO BUYERS! We've tried to sell it all or in pieces since the early days of CI/JV.
It's a bluff. It's like trying to sell an old pair of shoes but still wearing them in the meantime. People are being conditioned to accept less and give more because X is on "hard times." There are still plenty of people making good- easy money and they won't think twice about wearing those old shoes to pull the boat out of the water this weekend if they have to.