Layoffs the key to success at Valeant

What is the key to success at Valeant. Layoffs. Valeant has figured out that for short term success 90% of the jobs in a company you could have a monkey in the job and it does not hurt the short term profits. Basically saying that short term a company runs on autopilot.

So if you are an employee buy Valeant stock. If you get laid off at least your stock will go up.

Longer term Valeant has to purchase value created by employees that are smarter and more industrious than monkeys. Non-monkey's of the world are now demanding more compensation for the value they have created. Allergan basically said we do not want our hard work to be underfunded and undervalued. So Valeant lost out. People want things that they create to live on. Monetary compensation followed by a dismantling of the creation is no longer worthy compensation.

If Henry Ford sold the automobile to Valeant, Valeant would have cut all R&D and sold the Model T until the profits ran out. Today Ford and the car they made would be no more than a footnote, an insignificant event in history. Other Brands and Companies would be reaping all of the profits of the new cars invented since the Model T.

But place in history is not what Valeant is about. It is about generics. Generic products have a place in history too. Keeping the masses happy with good but not great products that help them with their daily lives. This defines Valeant

Selling past technology at a discount. If you like working on or selling old technology this company is for you. Hardware stores still make money off selling hammers and nails. It is just not all that interesting and does not put you in the history books.

 

Not much better than working for a hardware company.

 

Valeant should look for another product category that research is not paying off. Buy the companies and get a big premium for cutting research.

These areas include:

Women's exercise clothes

Dental hygiene

Vitamin supplements

toilet paper (Mr. Whipple announced the last big innovation in toilet paper 20 years ago)

 

More lawsuits pending, another yesterday:thanks Fatboy!



Lieff Cabraser Announces Class Action Litigation Against Allergan Inc. - AGN

 

Expect more!

 

Is this true? When?

 

Sure Dude...get ready to be culled Very soon

 

Here we go again, MGT throw a wad of cash at a commercial but don't want to invest in badly needed infrastructure then lay guys off

 

lol, the cost of the commercial is no a big deal. But if you suck at your job (like you obviously do) then getting laid off is a constant worry and you'll complain about anything.

 

Absolute BS. The money may be no big deal to piss away for Marketing. But as the guy said, that could have done huge amounts of good fixing the many serious problems that leadership is to incompetent to even understand.

 

Typical management clown's response, blame someone else

When a company that makes all its money from mergers runs out of new take-over targets that are large enough to hide its non existent organic growth (which happens when you fire everyone in R&D and take on enough debt to turn your bond rating to "junk")... you start to panic, no new products in the pipeline? Hire a bunch of new sales staff and maybe they will find a way to sell aging product to a market that is rapidly leaving Valeant behind. When it doesn't workout, the top brass just blames the sales department and make it all their fault when the company tanks.

 

whats the timeframe on tanking?

 

Very difficult to say. I have a finance background and have been working in healthcare for more than 35 years, and at this point I can spot a company destined for disaster a mile away. What I am not good at doing is picking the timing.

Usually the end comes after some external event that is not so obvious. We could get runaway inflation (not likely at the moment) that makes the debt load unsustainable, there could be a major regulatory action, or the market could just turn sour on the pharma sector. The issue with Valeant is that the balance sheet is very weak and the values placed on goodwill and intangibles may well be wishful thinking. If there is a significant external shock, Valeant is in no condition to weather the storm and it will collapse like a house of cards in a matter of months.

On the other hand, if there is no near-term shock this Ponzi scheme could continue for many more years. The ugly end will come eventually, it always does, but those that set the wheels in motion will be long gone, likely relaxing on a warm beach somewhere while dusky skinned girls in skimpy bikinis serve them exotic rum drinks with little umbrellas. Life is not fair.

 

Thank you my friend, indeed life is not fair but what goes around comes around with the fat cats!!

 

Here we go AGAIN!!!! take over Salix = More Chaos = More job loses

 

They need more deals to cover up their loss. The accounting tricks don't work without acquisitions. The show must go on!

 

VALEANT TO CUT SALIX WORKFORCE BY 120 PERCENT

NEW YORK, N.Y. (AP.com) - Valeant has announced a plan that will reduce Salix Pharmaceuticals workforce by an unprecedented 120 percent by the end of 2015, believed to be the first time a major corporation has laid off more employees than it actually has. Valeant stock soared more than 12 points on the news. The plan is not contingent upon Valeant purchasing Salix- also an industry first.

The reduction decision, announced Wednesday, came after a 6 month-long
internal review of cost-cutting procedures. The initial report concluded
the company would save $25 million by eliminating 20 percent of Salix Pharmaceuticals 5700 employees.

From there, said a spokesperson, "it didn't take a genius to figure out
that if we cut 40 percent of our workforce, we'd save $40 million, and
if we cut 100 percent of our workforce, we'd save $80 million. But then
we thought, why stop there? Let's cut another 20 percent and save $120 million.

"We believe in increasing shareholder value, and we believe that by
decreasing expenditures, we enhance our competitive cost position and
our bottom line," he added.

Valeant plans to achieve the 100 percent internal reduction through
layoffs, attrition and early retirement packages. To achieve the 20
percent in external reductions, the company plans to involuntarily
downsize 22,000 non-Valeant employees who presently work for other
companies.

"We pretty much picked them out of a hat,".

Among firms Valeant has picked as "External Reduction Targets," or ERTs,
are Quaker Oats, AMR Corporation, parent of American Airlines, Lockheed,
Boeing, and Charles Schwab & Co. Valeant's plan presents a "win-win" for
the company and ERTs, said Chris, as any savings by ERTs would be passed
on to Valeant, while the ERTs themselves would benefit by the increase in
stock price that usually accompanies personnel cutback announcements.

"We're also hoping that since, over the years, we've been really helpful
to a lot of companies, they'll do this for us kind of as a favor,".

Legally, pink slips sent out by Valeant would have no standing at ERTs

 

dumb and re-posting it doesn't make it any funnier.

 

I'm with a competitor now, but I interviewed w the regional a couple days ago and received the verbal offer. If I take this gig, am I getting axed in the upcoming months? What's with all the openings and will this group be let go?

 

Friggin' hilarious!