MCI DeathWatch Part Deux?

It is old hooch in a new bottle. This just came over the wires…. MCI Inc. (formerly WorldCon) will cut 7,500 jobs — about 15% of its work force — as it tries to control costs. Revenues have tumbled and MCI posted a first-quarter loss of $388 million. The $388 million loss compared with a net profit of $52 million in the year-ago quarter, reports WSJ. Why the loss? MCI executives said the cuts would likely save $150 million a quarter, and were essential to increasing profits. The company said the weaker performance stemmed from intense price competition in the industry that has crimped revenues. Where have i heard that before? Oh wait, I have been saying that for almost four years now.


Comments have been disabled for this post