Gabriel -
After Jim's comments about cash flow, layoffs, earnings worries etc. I spent a little time doing 'due diligence' at some of my favorite watering holes in the Houston Northwest. Everyone I talked to from CPQ was very confident, those who knew anything said CPQ is way ahead of plan. I have no concerns about CPQ beating their estimates. There is no way that many people would be that confident otherwise - everyone knows this is a must quarter.
Likewise on layoffs, most people I spoke with said that there have been layoffs in their areas, and more are planned, but that there is no rush on the process, managers are evaluating their needs and the resource base, good people are being transferred within the company before being RIFfed, and a lot of thought seems to be going into where the cuts are happening. Remember that DEC, bloated as it was, delivered 10% earnings it's last two quarters of operation, so there is really no need to slash and burn, they are pulling their weight. |
