Peter Kafka

Recent Posts by Peter Kafka

News Corp. Takes $2.8 Billion Charge

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News Corp. missed its quarterly numbers today by reporting adjusted earnings of 32 cents a share on revenue of $8.4 billion; the Street was expecting 32 cents and $8.7 billion.

More interesting is the $2.8 billion “non-cash impairment charge” the company disclosed but didn’t explain in any detail. Here’s the full text from the release: “The charge consisted of a write-down of $1.5 billion of goodwill and a $1.3 billion write-down of the Company’s indefinite-lived intangibles, principally related to the Company’s publishing businesses, most significantly the Australian operations.”

The company also took another $57 million charge “related to the costs of the ongoing investigations” around its phone hacking scandal; it said it has paid out $224 million for related costs in the last year. News Corp. also owns this Web site.


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I think the NSA has a job to do and we need the NSA. But as (physicist) Robert Oppenheimer said, “When you see something that is technically sweet, you go ahead and do it and argue about what to do about it only after you’ve had your technical success. That is the way it was with the atomic bomb.”

— Phil Zimmerman, PGP inventor and Silent Circle co-founder, in an interview with Om Malik