The Wall Street Journal reports that Sun Microsystems will cut roughly 10 percent of its workforce and, according to an SEC filing, the layoffs will result in charges ranging from $75 million to $125 million over the next several quarters.
Back in April, Oracle announced that it had agreed to buy Sun for $7.4 billion, or $9.50 per share. However, here we are months later and the deal has yet to close. This is due to delays at the hands of European Union Antitrust regulators who are busy looking into whether the acquisition would give Oracle a database software monopoly.
Reuters cites Oracle CEO Larry Ellison as saying Sun is losing about $100 million a month because of the delays.
True enough. It's not uncommon for companies to 'trim the fat' before an acquisition is finalised. That said, there's been tons of layoffs from Sun in the last year or so.
Germany could declare war on France (to drive up German firm’s market value); India send troops to Iraq (decrease oil future); Canada have a communist revolution (wipe out all small investor) all at the click of a mouse.
Thumb me down if you want, but this has to be said. The government isn't perfect, but its suppose to protect us.