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Sun's loss balloons before take-over

by on29 April 2009

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Oracle might be regretting it



Oracle
might be regretting the price it paid for Sun after the hardware outfit's lose ballooned in the last quarter.


Restructuring charges and a 20 percent drop in sales compounded the financial woes Oracle about to inherit by acquiring Sun for $7.4 billion. Sun announced that it lost $201 million in the three months ended March 29. A year ago, Sun lost $34 million.


Sun also spent $46 million for a restructuring deal that has cost thousands of workers their jobs. To be fair Sun is trying to make dosh when server salesare at their weakest point in seven years. Still, Oracle might be wondering if it over valued Sun.

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