Abbas M

RRJ#3

2009-12-15T08:38:00.000-08:00

Summary:

According to the article, cell phone maker Sony Ericssion, is going to do major changes in the company's

proliferation. Sony Ericsson will change North America main office from North Carolina to Atlanta. Also, its going to

close six sites around the world and cut 1,600 jobs. Stacy Doster who is the company's spokeswoman said that they

are going to make the company's product better than before by closing these sites. She also said that these sites

are Seattle, Research Triangle park, Miami, San Diego, Chennai (India), and Kista (Sweden). Stacy said that we said

that we will cut the company staff by twine percent last April and they are going to reach their goal by the middle of

next year. By closing Research Triangle park, the company faired four hundred and twenty five workers. The

spokeswoman said that she does not know how many workers are there in the other five sites, and how many

employees they are going to hire in the new headquarter. Doster said that they chosed Atlanta to be the new

headquarter for two essential reasons. The first one is to be close to one of the largest customers to the company,

which is AT&T. The other reason, is the airport international connections. She also said that they are going to work

on products development in for places, which are California, Sweden, Tokyo, Beijing. The company loses increased

by Forty percent in the third quarter comparing to the same period a year ago, because the only got Five percent of

cell phones market in that period.

RRJ 4

2009-12-14T06:15:00.000-08:00

Reference:

Lyon, A. (2009, December 2). “Dubai World to meet creditor panel on debt crisis”. Reuters.

Retrieved December 3, 2009, from http://www.reuters.com/article/ousiv/idUSTRE5B129120091202?

pageNumber=1&virtualBrandChannel=0

Summary:

According to the article, Dubai world creditors are going to meet and discuss with the company to delay their payments. People have some concerns of a new economic problem. Next week’s meeting is the first meeting with the main creditors to deal with the new problems. One of Abu Dhabi’s banks’ executive said that the six from the United Kingdom banks are on the creditors panel with two Emirate banks. Dubai world asked their creditors to stand still on debt to their three property subsidiaries. The most important question now is what will happen to Nakheel bond, which matures on December 14. Dubai said that the government is not going to guarantee Dubai world liabilities. The United Emirates blamed the international media for exaggerating the crisis and for ignoring that it was the national day. Some international banks gave Dubai companies and they made a deal that these companies are going to be protected by the government, which made international investors upset because it is not ethical. Adnan Yousef who is the chairman of the Union of Arab Banks, blamed Dubai for their bad communication with creditors. He also said, that they did not have a committee to contact each creditor. Then, he said that probably the crisis would not have a big impact on the gulf banks.

Response:

I did not like the article for one main reason. This kind of articles sometimes affect the stock market in the world, so I think these information must stay away from the media. In the gulf area we know that Dubai is having a lot of financial problems. On the other hand, we are sure that what happened last year is not going to happen again in a few years, because the economy is going to be better by time. The idea of a company protected by a government does not sound good to me, but in Saudi Arabia we have the biggest oil company in the world, which is called Saudi Aramco; the government protects this company because it is getting a huge income. I disagree with the chairman of the Union of Arab banks because the creditors are responsible, not the lenders.

Reading Reaction Journal 2

2009-11-16T07:48:00.000-08:00

Reading Reaction Journal #2

Reference:

Winterbottom, J and Kim, s. (2009, November 4). Chrysler offers revival plan but skeptics remain Reuters. Retrieved November 5, 2009, from www.reuters.com/article/email/idUSTRE5A34GX20091105

Summary:

According to the article, Chrysler's new chief uncovered a good outlook for the company future to automaker on Wednesday. He said that they are going to have more than double sales. Then, he said that they are going to get dozens of new cars, which were built on Fiat Platforms. So, they will be willing to pay to the United States taxpayers during the next five years. Sergio Marchionne, who is the executive chief of Fiat, said that Chrysler is going break by a net basis by 2011. Fiat's management thinks that Chrysler needs to find a new international market under the jeep brand. When he was in the stage, Marchionne he said that a lot of people were wrong because they misjudged Chrysler’s ways for reducing costs. Even after the Marchionne speech, many people did not believe that it would be that easy for Chrysler to rebuild interest in the United States market. Last October, the company sales were decreased by thirty percent and thirty-nine percents from the beginning of the year until today. Marchionne did not speak about an important question, which is where they are going to build the cars. He also said, by doing this business, they will provide fuel-saving technology and engine technology. Twenty percent of Chrysler’s stakes were given to Fiat for repairing and renewing the company investment. Also, he said that by 2014 half of Chrysler cars will be built by Fiat, and forty percent of them will have Italian engines, so Chrysler will be able to save 2.9 billion dollars.

Response:

I think that Chrysler got a great deal with Fiat. Chrysler lost a lot of money in the financial crisis, so they were trying to reduce their costs. One way that they will use to reduce the costs is to start building their cars in Fiat factories. I agree with this idea, because a lot of companies are doing it to reduce the workers salary expenses, which is good for these companies. Another way that the new boss mentioned, is by 2014 forty percent of the cars are going to have Italian engines. I belive that this is not a good idea for an important reason. People overseas loves American cars because of the American engines. So by doing that a lot of people are going to stop buying Chrysler cars, because they lost the most special thing that they have. Form my experience, Chrysler cars are not useful. My father bought a 2002 Van and during the first two years we were spending a lot of money to fix it from different problems. Because I’m majoring in business, this article interests me by telling me how companies solve financial problems.

2009-11-06T02:18:00.000-08:00

Reading Reaction Journal #1

Reference:

Craulley, C. (2009, October 28). CEO says amount of government aid sufficient. Reuters. Retriers in Oct 29, 2009, from http://www.reuters.com

Summary:

According to the article, GM does not need more help from the government. GM CEO who is Fritz Henderson thinks

that they will not need more money from the Congress. He said that the money that they got is enough. That's because

the government bought sixty percent stake in GM for Fifty Million Dollars to save the company with out running the

business. Mr. Henderson thinks that the government is going to earn a good amount of money by investing in their

company. Fritz said that there are some people who are investing in GM, who need to know how the business is going

to make sure that every thing is going alright. Some congressional Republicans and members of the House Financial

Services Committee said that there was no transparency in saving the auto bailout, and they want the public to see Gm's

financial information. GM will show the financial information of the third quarter in this year in November.

Reaction:

My major is finance so I'm interested in reading about these kinds of articles. GM is a multinational company and it has

a big business out side the United States so everyone in the world will be interested in reading about it. I was keeping

up with the company financial problem, but I did not follow up with the news to know how they solve their problems.

This article helped me to know what they did to solve it. I agree with what Barack Obama did to help them, because

GM is one of the biggest companies in the United States and in the entire world. Also, GM represent the American

Economy in the world. So if the company has a problem thats means the American economy has a problem and that is

not good for that Dollar rate against other currencies. Finally I liked the article and I think it has good new vocabulary

and good information.

2009-11-04T20:59:00.001-08:00

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