"Of course, in deals like this, there's many a slip
between the cup and the lip. Still, I, for one, am sure that the
deal will go through. While Sun CEO Jonathan Schwartz recently
pointed out Sun's strong points--"over $3 billion in cash, and a
nearly two decade history of generating positive cash flow. We've
also got a set of technologies and people that continue to play an
ever more vital role in the economy."--he didn't really address
Sun's serious problems.
"What Schwartz didn't mention was that Sun had laid off from 15%
to 18% of its employees in November 2008, that's between 5,000 and
6,000 employees, after a quarter which saw a $1.68 billion
quarterly loss. Even before the economy started its nose-dive, Sun
had been bleeding red-ink for several quarters."