Picture this--your company sales are down 30%, you are going to lose $10M this year, your reserves are starting to look a bit low, and your major market has seen its sales drop by 2/3's, and all signs point to sales getting far worse before they get better. And your second major line is starting to see inventory pile up rather heavily as well.
You've been planning a great new addition to your product lines, but have run into problems here and there and now it's late. Plus the regulators told you just recently that you have to fix some "issues" they are concerned about before you can take your new product to market. And it's going to be a very expensive fix, like a $37 to $40 million dollar fix if all goes as planned.
And throw into the mix that your first big sale in this new product line, to a high-profile buyer who managed to force through a sweetheart deal on faith, still hasn't followed through and that buyers' promise expires in less than two weeks.
What would you do?
Personally, I would batten down the hatches, keep the product development percolating at a low-level, cut back expenses as far as I possible could, especially any expenses directly related to the promise my "buyer" made and plan to cut them even more if the sale falls through, and live to win another day. Wait it out. Let the cycle come back around, in my favor. Realize that I had a hell of a run and I better tighten everything up fast before I let it all get away on me and end up worse off than ever.
Taking my time and making sure I'm ready when the cycle inevitably goes up again. It could be two or seven years, who knows. But I would run lean at all costs, ferociously preserving my reserves, and eking out value from every penny going out while maximizing every dwindling penny coming it. Making my existing customers damned happy. I would want to make sure I'm still here, I survived, and I'm ready for the next big ride.
But is that what our fine City Council and it's ever-the-optimist Special Projects Manager R. Garzini are planning to do?
Hell, no. They are forging ahead as if it's 2004, and the bubble called Bend Real Estate is just hitting the booster rockets.
Build it and they will come. It works great, in a movie. In the real world, if the time is right, the price is right, and the place looks nice, they might come with a little persuasion.
One out of three ain't bad, if you're an optimist.
I just wish the Council saw the realism that close to two hundred of our local residents are seeing as their homes are getting foreclosed on in this beautiful Christmas season.
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2 comments:
Google Garzini
He's the sleaziest creep to walk in politics around,
Cunt whore prison booster, but what's best is his mantra.
RUN YOU CITY LIKE A BUSINESS
Trouble is Garzini hasn't had a real fucking job in his life, or a business, this is why he likes prisons, they're a monopoly.
What does he say "Prisons are like hotels, with 100% occupancy".
This is NOT a business man, this guy knows shit about business.
What he knows and KURATEK knows, is that he gets $333/day, while he keeps the charade going.
Someone with a BRAIN would freeze city spending today.
Kuratek is the RASPUTIN for city-hall, and GARZINI is the rasputin for EDCO.
They're both going to bankrupt BEND, but who cares as long as people keep cashing the city checks.
Trouble is, and its been this way for a long time, is the crooks are robbing Bend blind.
Second issue is that Knife-River needs work to keep their boyz on to pay payment for those 100's of tandem dump-trucks. The city ( capell ) will do whatever it takes to keep the insiders busy.
They cannot get real money, as Muni-Bonds are shutdown, they'll continue to burn city money, until someone gets the balls to RECALL all of them, but first the Bulletin would have to cease & desist, and the SORE.
BEND is super fucked.
http://www.tsweekly.com/index.php?option=com_content&task=view&id=2314&Itemid=75
Our own SORE here in Bend, has a whole story about about CUPID, aka Garzini, shootin, poison arrows into the arse of kuratek.
It's a sad story, but if you made it this far.
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