“If investors in Research In Motion thought in January that a change in leadership at the struggling maker of BlackBerry smartphones would solve its problems, Thorsten Heins, the new chief executive, has so far proved them wrong,” Paul Taylor reports for The Financial Times.
“Mr Heins has taken the tough measures that Wall Street considered necessary, cutting costs and streamlining operations, but the share price continues to fall below the 12-month low it reached on Wednesday,” Taylor reports. “The reality, as he has warned repeatedly, is that it was always going to be tough for RIM to bridge the gap between its ageing BlackBerry smartphone portfolio and its next-generation handset range that is not expected to reach stores until much later this year.”
Taylor reports, “But the rapid deterioration in RIM’s profit, highlighted by Tuesday’s warning of an operating loss in the three months ending June 2 , has surprised all but the most pessimistic analysts.”
Read more in the full article here.