Dell complaints

roundrockmom · one bitch wonder Joined: 06 Jun 2008 Posts: 3

From yesterday's WSJ

Anyone have internal info on what this means to employees or former employees who still have shares which were purchased through ESPP?

FallenAngel · Super Hater Joined: 21 Feb 2006 Posts: 1493

That's a rather bold move on Dell's part. I wonder what their angle is to this decision?

It has to benefit THEM in some way or they wouldn't have bothered.

AngelusDaemonicus · Dances with Hate Joined: 08 Mar 2008 Posts: 111

Probably due to the fact that they want control to remain with folks they can boss around and get to vote their way. There has to be some creepy motivation involved. If it's dishonest, count on DELL to deliver it.
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Padawan2007 · Dances with Hate Joined: 24 Oct 2007 Posts: 134

Most likely if they want to make a decision - like Sell all or part of the company to an offshore representative, would they not need majority of stock ownership to pull something like that off?
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AngelusDaemonicus · Dances with Hate Joined: 08 Mar 2008 Posts: 111

HellComputer · Dances with Hate Joined: 16 Feb 2006 Posts: 213

This appears to be an attempt to limit losses in the event of a class-action lawsuit by employees claiming they duped/blocked by the company in disposing of their shares, in the event that there is a significant drop in the share price, due to hidden information that will come to light shortly. This way, they can claim that they made an offer and employees did not take advantage of it. On the other hand, they may feel that the price is going to rise significantly, and they want to get shares out of the hands of employees so they won’t have to pay out on them and incur the loss, which is likely not yet on the books as a liability

Either way, it is a way to take money from employees, and put it back into the bottom line. In the words of management, “It’s just good management”

If you take any lessons from Enron and the likes, I would assume the first scenario is more likely.

biff's buddy · Hates with a Vengance Joined: 02 Mar 2008 Posts: 63

FallenAngel · Super Hater Joined: 21 Feb 2006 Posts: 1493

The plot thickens, that can be said with ease.

05TigerWong · Hates with a Vengance Joined: 20 Feb 2008 Posts: 52

Something fishy is happening... Seems like they are doing everything they can to raise that stock up. Enron did the same thing. Dissociation from dhell is probably the best thing a person can do..

roundrockmom · one bitch wonder Joined: 06 Jun 2008 Posts: 3

If anyone is interested in reading the SEC filings, with details of what Dell will be offering, here's the link.

[url]http://www.secinfo.com/dsvrp.tAY3.b.htm [/url]

Looks like they will be mailing letters to employees and former employees in July based on the dates in the filings.
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Starman97 · Hates with a Vengance Joined: 05 Feb 2007 Posts: 94

Also in the news today, MikeD bought $100mil worth of Dell stock.
You'd think he'd be all about diversifying. Or at least buying HonHai stock.

05TigerWong · Hates with a Vengance Joined: 20 Feb 2008 Posts: 52

Lame attempts to boost market share price. Nuff said. The only reason why michelle is worried is cuz her name is on all of her POS product. She's getting old and starting to worry bout her legacy (which I think is already sealed as CEO of the most ethically bankrupt company after enron).

Mike, do the world a favor and give the money back to the shareholders. Oh ya, and go f**k yourself.

Starman97 · Hates with a Vengance Joined: 05 Feb 2007 Posts: 94

Why spend 100mil of your own money to boost the stock price for everyone else?
MD doesn't strike me as that sort of guy. He's out to make money for himself. You make money getting other people to buy stock in a weak company so you can unload your shares. He's already got enough shares to have control, maybe not full, unfireable control, but it's not like the board is going to fire the founder at this point in time.
Maybe if they are planning to sell out to Foxconn or one of the Dubai banks, then it's a good plan to buy up a few million shares for some guaranteed return.