eBay cuts jobs, buys credit firm
Credit? What could possibly go wrong?
Steps to Take Before Choosing a Business Continuity Partner
eBay is laying off 1,000 staff and getting rid of hundreds of temporary positions at the same time as it buys three companies.
The job cuts will come at eBay offices around the world, and will cost the firm between $70m and $80m.
John Donahoe, the online tat house's chief executive, said of the redundancies: “While never an easy decision to make, these reductions will help improve our operations and strengthen our ability to continue investing in growth.”
In other news, eBay has paid $945m for an online credit firm called Bill Me Later - $820m of this is in cash and $125m in outstanding options. eBay is also buying two Danish classified firms - dba.dk and bilbasen.dk for $390m in cash.
eBay said Bill Me Later was a natural partner to PayPal. The company provides instant credit to consumers shopping online. When you get to the checkout of one of the 1,000 online shops which accept it, you can enter your birthday and the last four digits of your social security number instead of paying by credit card. It uses its "sophisticated underwriting techniques and credit decision model" to approve shoppers in seconds.
Bill Me Later will then send you a monthly bill which you can pay by cheque. It aims to attract the large number of shoppers who are nervous of using their credit cards online. Investors in Bill Me Later include Citgroup, Amazon and Equifax.
eBay expects the deal to bring in $150m in revenues in 2009 but to dilute GAAP earnings by $0.13 per share for the year. eBay predicts it should add to earnings by 2011.
The Danish classified sites are added to eBay's stable of similar websites including Kijiji and Gumtree. The firm claims an online classified presence in 20 countries.
eBay's SEC filings are available from here.
eBay said it expects to hit the bottom end of targets for sales for the third quarter - full results will be announced 15 October. ®
Requirements Checklist for Choosing a Cloud Backup and Recovery Service Provider
COMMENTS
@solomon grundy
as a friend of mine used to say:
fuck me to tears
just because
@AC
I was actually busy playing a game, on phone with corsair and reading ElReg on my second monitor when I got to that post. So since you have all these clauses covering religions fact is I am atheist so Imexempt from that contract and since I cant read the smaller then small print I think I can say that I did not see that and could not agree to the full ToS you have provided. I would like to get out of this deal since you could not disclose openly and fully :)
Quoi?
What is a cheque?
Mine has a history book in the pocket.
IT infrastructure monitoring strategies
Requirements Checklist for Choosing a Cloud Backup and Recovery Service Provider
Cloud based data management
Enabling efficient data center monitoring
Agentless Backup is Not a Myth
