Feeds

C&W reveals lease liabilities

Investors plot coup

  • alert
  • submit to reddit

3 Big data security analytics techniques

ComputerWire: IT Industry Intelligence

Cable & Wireless Plc has been forced to clarify its outstanding lease commitments in the face of suspicions that big cut-backs in its international operations would leave it with huge liabilities on leases of property that it will vacate.

C&W insisted that the £700m ($1.1bn) lease commitments that follow the restructuring were included in the £800m($1.26bn) costs of the operation revealed at the time. It said that after the restructuring, it will have outstanding lease commitments of £1.4bn ($2.2bn) for its ongoing operations.

Concern over lease liabilities is part of a total collapse in confidence by the financial community in C&W, and in particular its chief executive Graham Wallace. Reports suggest that investors refuse to have any contact with Wallace and deal with the financial director instead.

They feel that having burned billions of dollars building the company's global unit into a major web hosting operation that has been a financial disaster, it should have been pruned back savagely to avoid further losses. C&W's decision to cut back the operation last week, with the loss of 3,500 jobs, is regarded as a feeble compromise.

The only consolation for disgruntled investors is that they can now take bets on how soon Wallace loses his job. Spread betting company Financial Spreads puts his remaining time with the company as 35 to 40 days, suggesting he is in for a miserable Christmas.

There is also speculation that leading investors have approached Peter Manning as his replacement. Manning is a former CEO of Colt Telecom Group Plc, prior to which he was president and CEO of Concert Communications Inc. Neither of these companies was a glittering financial success but this has become a business where few have made money for many years.

© ComputerWire

Combat fraud and increase customer satisfaction

More from The Register

next story
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
Did a date calculation bug just cost hard-up Co-op Bank £110m?
And just when Brit banking org needs £400m to stay afloat
MtGox chief Karpelès refuses to come to US for g-men's grilling
Bitcoin baron says he needs another lawyer for FinCEN chat
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
Apple DOMINATES the Valley, rakes in more profit than Google, HP, Intel, Cisco COMBINED
Cook & Co. also pay more taxes than those four worthies PLUS eBay and Oracle
It may be ILLEGAL to run Heartbleed health checks – IT lawyer
Do the right thing, earn up to 10 years in clink
prev story

Whitepapers

Securing web applications made simple and scalable
In this whitepaper learn how automated security testing can provide a simple and scalable way to protect your web applications.
3 Big data security analytics techniques
Applying these Big Data security analytics techniques can help you make your business safer by detecting attacks early, before significant damage is done.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Top three mobile application threats
Learn about three of the top mobile application security threats facing businesses today and recommendations on how to mitigate the risk.
Combat fraud and increase customer satisfaction
Based on their experience using HP ArcSight Enterprise Security Manager for IT security operations, Finansbank moved to HP ArcSight ESM for fraud management.