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Financial News Network

Financial News Network

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Blackberry Maker RIM Lost Money, then People

2y ago


You're watching the Financial New Network at, I'm Julia Sun. Research in Motion's Australian Chief of Operation Ray Gillenwater resigned from the blackberry maker. This is only 3 months after he was promoted to this job in April, signaling how vulnerable the company is. Again, sales fell 43% to $2.8B in the fiscal first quarter. The company plans to cut 5000 jobs, which is roughly 1/3 of its workface, to save up $1 billion in 2012. The stock was downgrade across the street , headed by Société Genérale and CIBC. RIM's next major product is the Blackberry 10 and it has to count on this new blackberry to outperform. Rim's stock tanked more than 70% in 2011 when the customers switched to iPhone. Even though its senior executive stepped out that it's not in a deadly spiral, I think 2012 is the last chance it has before it goes out and find a buyer. Share with us what you think from your blackberry or other mobile devices, you can send in your comments to our show or tweet us @fnnonline. I'm Julia Sun for the Financial News Network in New York City. Check us out at