Adelphia Communications – Corporate Scandal Adelphia Communications – Nature of the business Adelphia Communications is a cable television company that had its headquarters in Greenwood Village, Colorado. It was the fifth largest telecommunications company in the US with annual revenue of $3.61 billion. Founded by John Rigas in 1952, it made rapid strides before accounting scandals ripped the company apart. It was eventually sold to Time Warner Cable, Comcast and Pioneer Telephone in July 2006. Downfall of the company In 2002, Adelphia disclosed that it had $2.3 billion in off balance sheet loans and this money was used by the Rigas family for their expenses.
The firm initially split due to declaring themselves bankrupt to the NYC Federal Bankruptcy Court on June 1st 2009 with debt of $172.81 billion, one of the largest corporate bankruptcies in US history. GM began to lose sales during the Automotive Industry Crisis of 2008-09 where posted their first loss. They decided to split and deconstruct their business in order to improve control and day-to-day running and decisions. They now control 8 car companies including Cadillac and Vauxhall and lost over 25,000 employees. They currently have positive revenues by over $150 billion and have experienced economies of scale in the long run.
Case Study Compensation Controversies at AIG American International Group (AIG), a behemoth insurance and financial services company, became notoriously famous in early 2009 for the payment of $165 million in retention bonuses to employees in its Financial Products unitthe business unit that was instrumental in bringing AIG to its knees and necessitating the infusion of many billions of dollars in United States government bailout money, beginning in September 2008. Although the near collapse of AIG was significantly influenced by “soured trades entered into by the company’s Financial Products division,” the operations of other AIG units, such as the financial gambles of its 2,000-employee Investments unit, helped cripple the company as well. Rapidly mounting financial losses had been occurring in the Financial Products unit for some time. Consequently, AIG decided to unwind the business and shut it down. In early 2008, employees in the Financial Products unit were asked to remain with the company through the unit’s shutdown and, essentially, to work themselves out of a job.
Financial Analysis of Dick’s Sporting Goods Fall 2011 FIN534 Amini Cancel Professor Muleka Kikwebati December 6, 2011 Financial Analysis of Dick’s Sporting Goods Company Overview Dick’s Sporting Goods, Inc. was founded in 1948 by Richard "Dick" Stack at the age of 18 and since then, the chain has expanded to become one of the largest sporting goods retailers in the world. Dick's Sporting Goods, Inc. is a Fortune 500 American corporation in the sporting goods and retail industries. The company’s headquarters are located in Pittsburgh International Airport in Findlay Township near Pittsburgh, Pennsylvania and as of July 25, 2011, it has accumulated 451 stores in 42 states, all of which are primarily in the eastern half of the
Summary of Bigger than Enron In 2001, the nation was rocked by the collapse of Enron, a multibillion-dollar corporation that employed thousands of people and had affiliations right up to and including The White House itself. With all of the fraud and mismanagement that took place under the gilded roof of Enron, the question arises as to the involvement of others in the scandal, not the least of who is the firm of Arthur Andersen. In the 1990s, more than 700 U.S. companies were forced to correct misleading financial statements as a result of accounting failures, lapses, or outright fraud. Together with Enron -- the largest corporate bankruptcy in U.S. history -- these failures have cost investors an estimated $200 billion. What went wrong?!
By 1990 Acer was the 13th-largest PC maker in the world with revenue of US $ 1 billion. The following year due to a slowdown in the economy and overcapacity, Acer recorded its first loss (US$22.7 million after taxes) and cut 400 jobs in Taiwan. Despite the ensuing upheaval and ISO 9000 certification was obtained in 1992. The following year, Acer recorded sales of US$ 1.7B by 1994 was the world's seventh-largest PC brand. In 1995, it exceeded expectations with revenues of US $ 5.8B by year end.
Palmisano stepped down as CEO 31st December 2011, ending a near-decade-long reign. Looking back ten years Palmisano made several key strategic moves that have paid off greatly for IBM. In 2002 IBM bought Pricewaterhouse Coopers Consulting for $3.5 billion, and created a new global business unit called Business Consulting Services by combining IBM business services and PwCC. As a result, IBM Business Consulting Services becomes the world's largest consulting services organization, with operations in more than 160 countries . In 2003 IBM sold its hard disk drive business to Hitachi.
Sales have risen from 22.6 million pounds in 2001 to 43.1 million pounds in 2006. This has been achieved through growth strategies which have seen the company expand its retail outlets and at the same time enter into new markets with high growth potential. At the same time, the company has experienced growth in profit. It profits margin has continued to grow in line with its growing sales. It profits have increased from 1,322 million pounds in 2001 to 2,280 million pounds in 2006.
Within one year, he successfully rescued the company from losing 17 million per annum to making a profit of 54 million a year after. Two years later, the SAS was voted for the “Airline of the Year in 1983”. Six years later, he wrote this book. The book becomes famous in the field of management and business circles throughout many years. Nowadays, SAS even becomes the leading airline company in Europe.
On July 22, 2002, MCI WorldCom (hereafter known as WorldCom) filed for Chapter 11 bankruptcy, the largest filing in U.S. History at the time (Beltran, 2002). It is clear that senior-level executives were holding the reigns throughout the elaborate and, what one analyst called, “incredibly elegant (Simons, 2002),” scam, intended to defraud investors and Wall Street. To someone not familiar with accounting processes, the case becomes difficult to understand. The executives were falsifying accounting entries, both creating accounting line items that did not exist and counterfeiting actual entries to inflate earnings (Boatright, p.44). The 1990s proved to be an excellent decade for WorldCom, particularly after the 1997 purchase of MCI, which was the largest national long-distance phone carrier at the time, and resulted in the largest corporate merger in the history of the United States.