Acer suffers terrible let-down after unexpected withdrawal of Wang
Plan for the future? Shih ... it
Shares of Acer fell by their daily limit in Taiwan after the company announced that chief exec JT Wang was abandoning ship and it was going to cut seven per cent of its staff to try to save some money.
Acer stocks opened the session already down 6.9 per cent, the maximum they are allowed to fall in any one trading session, to T$16.90.
Chief'n'chairman Wang said yesterday that he was quitting after "consecutive poor financial results" during the "complicated and harsh challenges" of the last few years.
At the same time, the company said it would be axing seven per cent of its 8,000 workers to try to save $100m and closing certain product lines.
A Transformation Advisory Committee has been formed and will be chaired by founder and former CEO Stan Shih.
Shih said that after the restructure, Acer would be coming up with more competitive products in the PC, tablet and smartphone sectors. ®