AOL Timewarner posts 100 Billion Dollar Loss

Fash · Post by **Fash** » January 30, 2003, 2:48 am

NEW YORK (Reuters) - AOL Time Warner Inc., the world's largest media company, on Wednesday posted a 2002 loss of nearly $100 billion, the largest annual loss in U.S. corporate history, after taking a whopping $45.5 billion charge in the fourth quarter to write down the cost of free trial cd-roms.

The company, which also said media mogul Ted Turner would step down as vice chairman, reported a fourth quarter net loss of $44.9 billion, or $10.04 a share, after taking the non-cash charge to write down the value of its embattled America Online business and other assets including $30 billion for warehousing of free trial cd-roms.

Krimson Klaw · Post by **Krimson Klaw** » January 30, 2003, 3:00 am

Wow, I have not read this yet. This a joke? I knew the merger was a total failure, but no idea it was this disastrous.

Fash · Post by **Fash** » January 30, 2003, 3:02 am

article is real, I just stuck "free trial cd-roms" in from the first draft that didn't make it to press.

kyoukan · Post by **kyoukan** » January 30, 2003, 3:23 am

they should take all the free AOL cd roms they are going mail out for the next 20 seconds and melt them all down in order to build a bridge to the moon and charge people a toll to drive on it.

Trek · Post by **Trek** » January 30, 2003, 3:24 am

hmmm, im sure that would barely get through our atmosphere, get real.

vn_Tanc · Post by **vn_Tanc** » January 30, 2003, 6:51 am

If I added the ones that have come through my door in the last 6 months it would reach teh moon np!

Revs · Post by **Revs** » January 30, 2003, 7:46 am

Steve Case should bail too

Fuck AoHell!

Phugg_Innay · Post by **Phugg_Innay** » January 30, 2003, 11:32 am

well that is what hapens when your company has NO real product , just content. Take a few notes from @Home , they thought Content was the way to go and look what happened to them. We shoved a finger in the face and they FOLDED !

Voronwë · Post by **Voronwë** » January 30, 2003, 11:55 am

good news is that the strike price on my stock options is $35.75

wait that is not good news at all....

the unit i work in (Turner Broadcasting Systems) made money last year, so i just hope we don't have to suck up anymore layoffs because of AOL's poor performance.

Ted leaving makes a lot of people in Atlanta kind of sad because he has done so much for the company here.

That being said, the company made money in the terms of Earnings Before Interest, Taxes, Depreciation, and Amoritization. Company wide revenue for Q4 was up to 11.6 billion from 10.4 billion. My understanding is the $54 billion dollar write off is mostly to offset a devaluation in the company. it wasn't strictly money that went out of accounts payable and didnt come back in.

Trek · Post by **Trek** » January 30, 2003, 12:26 pm

Ted ownes the Braves, that makes him evil, EVIL I say

Fallanthas · Post by **Fallanthas** » January 30, 2003, 12:29 pm

How is it that a company that has lost money continuosly over the last decade (AOL) is even in buisness anymore, much less attractive enough to merge with?

Have they ever posted a profit?

Voronwë · Post by **Voronwë** » January 30, 2003, 12:31 pm

i wish he did.

we wouldnt have gotten rid of Millwood then i know that. don't get me started anyways.

he really has no role in the day to day operations of any of the sports teams.

They (Thrashers -NHL, Hawks -NBA, Braves -MLB) are under the same reporting structure with Stan Kasten as president. I believe Stan reports to Jamie Kelner (CEO of Turner Broadcasting). Jamie then reports to Dick Parsons. So though Ted could have some say as Vice chairman, he was really out of the operations area since the Time Warner merger.

and that sucks in my opinion.

Ennia · Post by **Ennia** » January 30, 2003, 12:34 pm

So easy to use no wonder it's no.1!!!!!!1111!!

Cartalas · Post by **Cartalas** » January 30, 2003, 12:35 pm

If they made all of those Free Trail CD's on Rewritable CD's that would be nice.

Trek · Post by **Trek** » January 30, 2003, 12:35 pm

Ummm ya thats what I meant

(He is still evil)

Voronwë · Post by **Voronwë** » January 30, 2003, 12:39 pm

Cartalas wrote:If they made all of those Free Trail CD's on Rewritable CD's that would be nice.

i find them to be most useful as weapons, frisbees, and drink coasters

Truant · Post by **Truant** » January 30, 2003, 3:24 pm

Voronwë wrote:
Cartalas wrote:If they made all of those Free Trail CD's on Rewritable CD's that would be nice.
i find them to be most useful as weapons, frisbees, and drink coasters

I've always used them as drink coasters.

Aabidano · Post by **Aabidano** » January 30, 2003, 4:01 pm

Fallanthas wrote:How is it that a company that has lost money continuosly over the last decade (AOL) is even in buisness anymore, much less attractive enough to merge with?

Through dot com accounting they've been able to keep projected earnings very high, while actually showing very little market movement. for a long time disks, and later CDs mailed were counted towards projected earnings. Might still be for that matter.

Option greed prompted the merger, then the bottom fell out of the market.

Adelrune Argenti · Post by **Adelrune Argenti** » January 30, 2003, 4:06 pm

Revs wrote:Steve Case should bail too
Fuck AoHell!

Actually, Steve Case left over a month ago.

Voronwë · Post by **Voronwë** » January 30, 2003, 4:07 pm

he's still on the Strategic Planning Committee, just no longer CEO.

Krimson Klaw · Post by **Krimson Klaw** » January 30, 2003, 4:17 pm

What was most annoying was coming home from work, and the wife saving them for me. Hey honey, a cd came for you today, it's on your desk. Crap how many times do I gotta tell you to toss those things? I got to the point where seeing them on my desk made me have an epileptic fit.

Demags · Post by **Demags** » January 31, 2003, 2:39 am

I for one could not be happier. Ever since Steve Case and AOL killed neverwinter nights ive been hoping to see something "nice" happen to them. I'll probably never get a chance to punch that bastard in the nose, so this will have to do.

Millie · Post by **Millie** » January 31, 2003, 2:47 am

Revs wrote:Steve Case should bail too
Fuck AoHell!

Steve Case was fired a few weeks ago.

Voronwë · Post by **Voronwë** » January 31, 2003, 11:53 am

Millie wrote:
Revs wrote:Steve Case should bail too
Fuck AoHell!
Steve Case was fired a few weeks ago.

no , he stepped down as Chairman, but retains his seat on the Strategic Planning board (see above).

Ninan · Post by **Ninan** » January 31, 2003, 12:04 pm

Ted has nothing to do with the Braves baseball team, reports are now circulating he is interested in buying back the team for his own personal control.

On top of this 100 billion loss, Coke just announced (headquartered in Atlanta ) the upcoming layoff of 1000 more employees even th they have shown profitability during this down ecenomy.

OMGIAMRETARDEDCAUSEALOTISTWOWORDS of empty homes soon to be on the market in Atlanta. The job market here is brutal for the exec type jobhunters. Between Coke, Delta, Nortel, Lockheed there is a shitload of people now LFG so to speak.