Toyota posts surprise third-quarter profit Nov 6, 2009
"We continued to make improvements in our reductions in fixed costs," he said. "In addition, demand-stimulating measures by governments worldwide have contributed to our revised targets.". (MSNBC -- Business)
FinCom sets -0.5% budget guideline Nov 6, 2009
According to Koenig, in developing a budget guideline each year, the Finance Committee weighs fixed costs against projected revenues to determine the funds available for discretionary spending. For fiscal 2011, all town and school departments will submit a no-override/base budget with a 0. (Lincoln Journal, MA)
Handbrake turn Nov 5, 2009
GM s plan for turning around Opel from losses to profits involves cutting fixed costs by 30%, closing several factories and cutting 10,000 of the business s 50,000 jobs. Opel s separate national manufacturing and sales companies will be replaced by a single GM Europe operating company, based in Frankfurt. (The Economist)
Reborn Chrysler says it will be leaner, more competitive Nov 5, 2009
"The new Chrysler is being extremely parsimonious ie. cheap," Marchionne said, adding that Chrysler has substantially reduced its fixed costs and increased its cash position to roughly 5. 7 billion dollars at the end of September. (Yahoo! Asia News)
Layoffs projected for fiscal 2011 Nov 5, 2009
2 million, fixed costs such as snow and ice removal, retirement, employee benefits, unemployment and debt service are projected to increase $618,432 to $16. 1 million. (Marshfield Mariner, MA)
Can Fiat save Chrysler? Nov 5, 2009
Thanks to years of painful restructuring, major concessions from its unions and a government-sponsored bankruptcy, the new Chrysler has dramatically lower fixed costs ... The new Chrysler has dramatically lower fixed costs and the brand now needs identities which Fiat is. (India Times)
Delphi Reports Strong Third Quarter Financial and Operating Results Nov 5, 2009
Increasing production at its various operating fields through Company owned infrastructure reduces fixed costs on a per boe basis and improves netbacks. Field operators are encouraged to undertake preventative maintenance on field infrastructure and wellsite equipment to minimize production downtime and prevent significant operating costs associated with repairs. (CCNMatthews Press Releases)
Nokia Siemens to cut 5,800 jobs Nov 4, 2009
NSN, a joint venture of Nokia and Siemens, said it aimed to cut 500 million euros in annual fixed costs by the end of 2011, putting up to 5,800 of the firm's 64,000 staff at risk. Workers in Germany and Finland protested against the plan. (India Times, India)
Toyota to Withdraw From Formula One to Reduce Costs; Follows Honda, BMW Nov 4, 2009
More than cutting fixed costs, pulling out of F-1 is significant in showing Toyota is focusing on its core business, Endo said. Toyota, which announces second-quarter results tomorrow, in August predicted a net loss of 450 billion yen for the year ending March 31. (Bloomberg -- Japan)
Don’t be fooled into thinking local aid is unscathed Nov 4, 2009
Your editorial is correct that the Legislature and the governor need to give cities and towns some real means to control fixed costs. I empathize with the social service agencies taking significant cuts; as someone caring for an elderly parent and a public school student, I know that my loved ones will feel the impact of the state s continued shortfall one way or the other. (Boston Globe -- Editorial)
Energy Market Imperfections: Sizing the Fixed Price Penalty from DSM Expansion Nov 3, 2009
My focus here is on a single structural defect associated with the impact of recovering fixed costs through usage sensitive rates ... Utilities have large fixed costs built into usage sensitive rates ... The vast majority of state regulatory systems do not include straight fixed/variable pricing structures that break out fixed costs from usage sensitive kWh sales; and. (Energy Pulse, CO)
Mortgage origination profits on the rise Nov 3, 2009
"The big increase in production volume allowed lenders to spread their fixed costs over a larger number of loans, thus increasing net profits. At the same time, purchases picked up as homebuyers with good credit took advantage of low interest rates," said Marina Walsh, MBA's associate vice president of industry analysis, in a news release. Among other findings in the MBA s report. (Denver Business Journal, CO)
Sizing Up Murdoch, Redstone and Other Moguls Nov 3, 2009
Including a bunch of fixed costs that you can spread over a big cable company. However, it is, at a minimum, intriguing that the CEOs of the two leading cable companies in the United States Comcast and Time Warner Cable have taken diametrically opposite views on whether it is wise or strategic to invest capital into content businesses. (Time.com)
Marcial: Old Dominion, a Trucker for the Long Haul Nov 2, 2009
Old Dominion's revenues over the past nine years have grown at an annual 15% rate, compared with 6% for the trucking industry, notes analyst Kevin Kirkeby of Standard s, who rates the stock a "strong buy." Carriers that transport less-than-truckload freight usually have large fixed costs, notes Kirkeby, so typically they experience a strong earnings rebound when the economy starts to recover. Page. (BusinessWeek)
Hidden costs lurk in approving the JTED program in SCVUSD 35 Nov 1, 2009
Average costs of equipment and aids for math are relatively fixed costs where as a class set up for one vocational technical subject averages about 10,000 per subject and the average maintenance and upkeep runs about 20 percent of that cost per year, or an additional 2,000 per class per year. Another factor that was stressed was the general educational level of the student and, in particular, his or her reading comprehension level. (Nogales International, AZ)
The role of boards in rethinking market space Oct 30, 2009
Cutting production and employment did not help as the fixed costs of these entitlements for past employees were spread over fewer and fewer cars, making the problem worse. Andy Grove of Intel is rightly famous for having recognised this problem when he stopped the company manufacturing memory chips and made it into the worlds dominant manufacturer of microprocessors at a time when it was still a leader in memory chips; he could see that past success was a recipe for future failure as a result... (The Star Online, Malaysia -- Business)
The world's ailing postal services: Dead letter Oct 30, 2009
The industry s high fixed costs make profits vulnerable. In November 2008, badly battered by the recession, America s post office announced its second successive annual loss, of $2. (The Economist)
PE gives higher returns, but riskier Oct 30, 2009
"Ideal situation for investors would be a fund with low fixed costs but high profit share along with high hurdle rate," says a fund manager with an Indian fund house. The portfolio management service charges the investors on similar lines. (India Times)
Aon to offer coverage against H1N1 flu Oct 29, 2009
Aon created the standalone cover because general business interruption policies won't reimburse companies for wages, fixed costs and extra expenses if they can't access their buildings, the Chicago-based broker said Wednesday in an e-mailed statement. The company declined to disclose the cost of this cover. (Crain's Chicago Business)
Washington County health claims down by 15 percent Oct 29, 2009
The fixed costs increased approximately 9 percent equating to a net reduction of nearly 6 percent for the current year. The County provides insurance to the employees and dependants under a self-funded program, which utilizes revenue from the County and employees' partial payment for family coverage. (Kalona News, IA)
Goodyear 3Q Profit Surges, Shares Sink on Outlook Oct 29, 2009
Executives said the issues included fixed costs, seasonal sales trends and material expenses. "Overall the world's economies are showing increasing signs of recovery but certainly not as fast, as strong or as consistently as we'd all like to see globally," Keegan said in the call. (ABC News -- Wire)
Editorial: Revenue streams Oct 29, 2009
As fixed costs, such as pension plans and employee healthcare, continue to rise, Harwich needs to revisit ideas for other revenue streams. Among them are the potential for several hundred thousand dollars a year in increased tourism-related taxes. (Harwich Oracle, MA)
Accounting 101 Fixed and Operatin... Oct 28, 2009
Operating costs are usually separated on the income statement from fixed costs. Examples of Operating Expenses. (Suite101.com)
Warren: Help Newton live up to its full potential Oct 28, 2009
ve to think we can reduce fixed costs like debt and collective bargaining agreements. Let me be perfectly clear. (Newton Tab, MA)
Freescale CEO optimistic but still cautious about IC market Oct 28, 2009
Since the future remains cloudy, Beyer said companies in the chip market need to remain watchful and avoid taking on additional fixed costs so as to be able to scale back their operating expenses in line with whatever economic environment they encounter in 2010 and beyond. Freescale, Beyer said, is adding some temporary employees in anticipation of continued growth but the company is still using outside suppliers in many areas of its operations. (EETimes)
Royalty on His Resum Oct 27, 2009
Burrell says payroll represents 72 percent of the company s fixed costs. The company s bread-and-butter business is providing on-site security for clients, including Consolidated, a Charlotte company that called on Sunstates in the wake of Hurricane Katrina to send teams to guard warehouses full of bottled water that had been commandeered for distribution to those suffering in the wake of the storm. (Triangle Business Journal)
Pastides says USC plane use justified Oct 27, 2009
The drop saves the University money but causes the USC Development Foundation to spend more of its own money to cover fixed costs such as repairs, maintenance, insurance and hanger rents. USC has cut costs on air travel because the University does not directly own the plane, MUSC and Clemson own their planes and are obligated to fulfill the maintenance requirements. (Gamecock Online, SC)
Farm Bureau District 1 director tells county gathering that Michigan is "facing a fundamental budget challenge" Oct 27, 2009
"We fund our K-12 education with foundation grants 'per pupil funding' in an atmosphere of declining enrollment. School systems have fixed costs regardless of the number of students," said Leach. Courier Leader 2009. (Paw Paw Courier Leader, MI)
Bull's Eye: AEL, Bajaj Auto, Hero Honda, Asian Paints, Yes Bank Oct 26, 2009
However, some of this impact is likely to be offset by leveraging of fixed costs on the back of higher volumes. HERO HONDA. (India Times)
Gartner: Virtualization Still in Infancy Oct 25, 2009
Another common myth surrounding virtualization is that companies do it primarily to save money, particularly those fixed costs associated with building, maintaining and powering their enormous datacenters. "Large enterprises virtualized to save money, but later surveys show that the key is agility," Bittman said. (Datamation)
Empty beds forced hospital closing Oct 25, 2009
UPMC Braddock with low occupancy could have a higher cost-per-patient than a busy tertiary-care facility, due to overhead and other fixed costs, he noted. But Dr. Foreman countered that "it would be highly unusual for per diems at a small community to be higher than for an inner-city teaching hospital.". (Pittsburgh Post-Gazette, PA)
3Q profit falls for L.B. Foster Oct 24, 2009
Our manufacturing and yard operations continue to seek and implement cost reduction opportunities, but certain facilities cannot cover their fixed costs at these low volumes, he said in a statement. Accordingly, we had further reductions in plant personnel and we implemented a reduction in our salaried workforce as well. (Pittsburgh Business Times, PA)
The Rise of the 'Homepreneur' Oct 24, 2009
"It's reflected in our pricing that we don't have the same kind of infrastructure costs and fixed costs that some of our competitors do," he says ... King predicts that as large companies try to reduce their fixed costs by outsourcing business functions, small home-based enterprises will play an even larger role in the economy. (BusinessWeek)
Canexus Income Fund Announces Third Quarter Results Oct 23, 2009
The increase in the gross margin percentage from 32 percent for the three months ended September 30, 2008, to 37 percent for the three months ended September 30, 2009, was due to the increase in realized selling prices, an increase in the proportion of total production from our low-cost Brandon, Manitoba facility, lower electricity costs and lower fixed costs, partially offset by lower production volumes ... The gross margin percentage decreased from 34 percent to 25 percent due to the decrease... (CCNMatthews Press Releases)
Builders FirstSource Reports Third Quarter 2009 Results Oct 23, 2009
Charles Horn, Builders FirstSource Senior Vice President and Chief Financial Officer, added, "Although sales were down $77.1 million from the prior year, we reduced our loss from continuing operations before income taxes by $4.3 million, or $0.12 per diluted share. Gross margins fell 0.3 percentage points, from 21.2 percent to 20.9 percent year-over-year, primarily due to lower sales volume against fixed costs in cost of goods sold. On a sequential quarter basis, gross margin fell 1.5 percentage... (Primezone Releases)
Counsel Corporation Subsidiary to Transition Case Goods Production Offshore Oct 23, 2009
On a going-forward basis, moving production to Asia will result in the conversion of significant fixed costs to variable costs. Counsel expects this conversion to result in cost reductions that more than offset the charges in the first year alone, and to have a material positive affect on the profitability of its case goods business in subsequent years. (CCNMatthews Press Releases)
Ten sees signs of pick-up in ad markets Oct 22, 2009
"With sound, long term assets in place, our focus at EYE has been on continuing to maximise revenue and build on our strong client relationships, while reducing non-essential operating and fixed costs," he said. AAP. (Sydney Morning Herald -- Business)
Lee County schools hit hard by loss of state funding as ordered by Culver Oct 22, 2009
In that last 20 percent, maybe 10 percent of that is fixed costs like fuel, energy and other things, he said. So basically we have to look at that final 10 percent, along with our cash reserves, to account for that cut. (Keokuk Daily Gate City, IO)
Trauma leverages the golden hour Oct 20, 2009
All of these are fixed costs to a degree, he said, unaffected by patient volume, and not generally repayable. Also, trauma care is less well defined than a disease process, such as melanoma, a deadly skin cancer, making reimbursement trickier, Block said, while the patient population trauma centers serve largely skews younger. (Florida Today)
Hayden: Being ahead of the game encourages an organization's success Oct 18, 2009
One good way to stay ahead of the game is to not let fixed costs grow. Major cost reductions, though sometimes necessary, give little satisfaction. (Athens Banner-Herald)
Five New Rules Of Production Oct 17, 2009
For example, while primetime has seen a trend in recent years toward the expensively filmed single-camera comedy form, CBS has enjoyed standout success with comedy series shot in the multi-camera format, meaning the show is taped at a studio set with several cameras and fixed costs. Smart producers are recognizing that. (Multichannel News)
Bloomer asks for 31 percent hike in water rates Oct 17, 2009
The utility is pumping less water since the wastewater treatment plant was recently modernized and it needs more revenue to cover its fixed costs, said Meindel. The wastewater utility borrowed to finance the 5 million to upgrade to the treatment plant which doubled sewer rates from about 6 to 12 per thousand gallons. (Chippewa Falls Chippewa Herald, WI)
Earnings: A Longer-Term View Oct 16, 2009
Even contribution margins the profit made from each sale once fixed costs are subtracted topped predictions at 19. 7. (BusinessWeek)
Role of boards in understanding competitive risk Oct 16, 2009
The switch to alternatives requires some kind of investment in fixed costs that makes it very difficult for people to switch back again even when the price of the original goods or services drops. A good example is the demise of the copy typist, replaced by photocopiers. (The Star Online, Malaysia -- Business)
PHP, other code skills in high demand Oct 16, 2009
Being able to tap into a pool of talent is incredibly valuable and allows companies to trade off fixed costs for more variable ones. Mary Duan can be reached at 408. (San Jose Business Journal, CA)
Container-Shipping Lines to Avoid Price War as Peak Season Ends, CSCL Says Oct 14, 2009
CSCL and other shipping lines made coordinated rates increases in the peak season after fees slumped to as low as zero, excluding some fixed costs, in the first half amid tumbling trade. Larger rival China Cosco Holdings Co. and CMA CGM SA, the worlds No. 3 container line, have also begun talks on axing orders to pare growth and revive rates. (Bloomberg -- Germany)
BASF sees good growth potential in Asean region Oct 12, 2009
On BASF Asia Pacific site optimisation project, BASF SE executive director Martin Brudermuller said it focused on operational excellence and how much the company could save by reducing variable and fixed costs, re-engineering processes and maximising process standardisation. The groups operations in Kuantan, Pahang, and Pasir Gudang, Johor, are two out of its nine largest production sites in Asia involved in the project. (The Star Online, Malaysia -- Business)
Test-Drives in the C-Suite Oct 10, 2009
Executives don't want to commit to big fixed costs. Job hunters don't want to change cities or update their LinkedIn statuses before they know a job is a sure thing. (BusinessWeek)
Go parent AutoNation to re-evaluate brands Oct 9, 2009
He described how the old GM, with all of its fixed costs, tried to meet those costs by pushing out the maximum number of cars from its plants. The fact of the matter is, the old model has been completely broken, Henderson said, adding that the company is now focused on pull production that is driven by consumer demand. (Denver Business Journal, CO)
Fresno Co. bond debt scrutinized Oct 7, 2009
Leifer's recommendations include managing growth of fixed costs, in particular pension expenses. The county's obligation to the retirement fund will increase in part because of last year's stock market losses. (Fresno Bee)
Tips on getting feds to cut your house payment Oct 2, 2009
Other variables that can influence the odds of getting approved include your other debts (credit cards and car loans) and fixed costs. Once again, banks are looking for modifications that borrowers can live with. (MSNBC -- Business)
No Resolution Yet to Sewer District Sale Oct 1, 2009
A larger number of customers would reduce the fixed costs by spreading it over a greater number of users. We need to decide whether we're going to grow in this area or not. (Missourian Publishing, MO)
Hawaii tech company applies old lessons to new challenges Oct 1, 2009
Looking back, how we structured contracts, including long leases for office space, these fixed costs every month were making it difficult to adjust to cost in revenue, he said. By 2003, the company was in debt and we found ourselves having to make major changes or risk losing the company. (Pacific Business News, HI)
EDUCATION MATTERS: The State of Hingham Schools Sep 26, 2009
While the state and national economic situation looks more promising over the long term, the prospects for the coming budget process also present concerns about the extent to which we can further reduce programs, services or personnel, especially at a time of both growing enrollment and increasing fixed costs. As the fall moves forward, residents will hear discussions about the close-out to the building and renovation projects. (Hingham Journal, MA)
Holbrook department heads told to watch spending Sep 24, 2009
Because of a reduction in state aid this year, along with hikes in fixed costs and lower revenue, officials were faced with a budget shortfall that resulted in layoffs and reduced services. The treasurer/collector s office is open limited hours because of the staffing shortage, and other town departments also lost personnel or had hours cut. (Holbrook Sun, MA)
Interim utility director discusses challenges Sep 23, 2009
Now, in the past year, we have seen a decline in our sales, not an increase, so that puts pressure to cover our fixed costs, to pay for the employees and the distribution process. Q: Why would you want this job permanently. (Lodi News Sentinel, CA)
A Marketer Is a Terrible Thing To Waste Sep 22, 2009
Marketing budgets and resources can be an easy target because they tend to be more flexible they're not tied to fixed costs or capital expenditures. Some may even see marketing budgets as a good-times luxury. (BusinessWeek)
Super: if you lose it once, you could lose twice Sep 19, 2009
That means they have to share their fixed costs between fewer accounts than the big ERFs. Yet another factor in Super Safeguard's poor performance is that early last year it got caught out in the subprime mortgage meltdown in the US. However, the fund has since changed its asset consultant and how it invests and has lowered its fees. (Sydney Morning Herald -- Business)
The car industry: Small isn't beautiful Sep 18, 2009
Mr Warburton calculates that the fixed costs are nearly identical, whereas the variable costs of making the Q7 (labour, raw materials and so on) are only about 10,000 ($14,700) higher for the Audi. Yet the Fiat sells for as little as 10,000, compared with a sticker price of at least 40,000 for the Audi. (The Economist)
Kingwood members mulling Williams offer Sep 18, 2009
"According to papers Williams filed in bankruptcy court, Lake Burton Development, owner of Waterfall, had 1.6 million in lot and condo sales in 2008, compared to no sales midway through 2009. It recorded 6.4 million in sales in 2007.Williams also noted Kingwood had not been charging lot owners who have tied into the water and sewer system. "However, a large amount of the costs of operating the water and sewer system is fixed costs and not dependent on how many homes are being served. Therefore,... (Clayton Tribune, GA)
What to ask before you buy Sep 18, 2009
"Fixed costs must be paid before there is any discretionary spending," Kobliner says. She lists mortgage or rent, gas, basic groceries, utilities, insurance premiums, debt payments -- and, preferably, savings: 10 percent of your take-home to a 401(k) and another 5 percent to an emergency savings account. (CNN)
Mboweni a victim of Reserve Bank's inaccuracy Sep 18, 2009
This is expected to cost the state R2 billion in the coming year and would raise the fixed costs when the state went back to the negotiating table to forge inflation-linked raises each year. Motlanthe spent a lot of time trying to explain away the costs of ministerial motorcars. (Business Report, South Africa)
AirMedia gambleson Shanghai space Sep 17, 2009
AirMedia's rapid expansion, however, is also swiftly increasing its fixed costs. Its airport contracts are usually for between three to five years, and the concession fees are not on a shared-revenue basis but are fixed with an annual rise. (Asia Times Online)
GM exec says balance of power shifts with Opel deal Sep 17, 2009
Forster pledged Opel will take installed production capacity that was unneeded out of the system to lower the crushing fixed costs that force factories to churn out cars regardless of demand, but he warned against thinking a collapse of Opel might solve the industry's underlying problem as some experts suggest. "Let one manufacturer die and all the others will live happily ever after because now the pricing pressure is all gone. Can I be very honest? I think this argument is either very... (Yahoo News -- Press Releases)
• Higher ed personnel to be cut, official says Sep 17, 2009
With fixed costs that can't decrease and cuts already in place, anticipated holdbacks for this fiscal year will be painful and mean personnel reductions, Ken Edmunds, a member of the Idaho State Board of Education, said Wednesday in a meeting with the Times-News editorial board. "You can only turn off so many lights," he said. (Burley South Idaho Press, ID)
