Fujifilm to Take Over Xerox in $6.1 Billion Deal, Create Joint Venture

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Japan’s Fujifilm Holdings is set to take over Xerox Corp in a $6.1 billion (roughly Rs. 38,775 crores) deal, combining the US company into their existing joint venture to gain scale and cut costs amid declining demand for office printing.

The acquisition announced on Wednesday comes as Xerox has been under pressure to find new sources of growth as it struggles to reinvent its legacy business amid waning demand for office printing. Fujifilm is also trying to streamline its copier business with a larger focus on document solutions services.

Consolidation of R&D, procurement and other operations would enable Fuji Xerox to deliver at least $1.7 billion (roughly Rs. 10,807 crores) in total cost savings by 2022, the two companies said.

Fujifilm now owns 75 percent of Fuji Xerox, the joint venture going back more than 50 years ago which sells photocopying products and services in the Asia-Pacific region.

The two companies said that Fuji Xerox will buy back that stake from Fujifilm for around $6.1 billion, using bank debt. Fujifilm will use those proceeds to purchase 50.1 percent of new Xerox shares. Plans were for the deal to be completed around July-August, they added.

The combined company will keep the Fuji Xerox name and become a subsidiary of Fujifilm, with dual headquarters in the United States and Japan, and listed in New York. It will be led by Xerox CEO Jeff Jacobson, while Fujifilm CEO Shigetaka Komori will serve as chairman.

The joint venture accounts for nearly half of Fujifilm’s sales and operating profit.

Both companies have struggled with slow sales of photocopy products, as businesses increasingly go paperless. Fujifilm on Wednesday reported a 29.4 percent drop in operating profit at its document solutions operations, which includes Fuji Xerox, for the third quarter, underperforming its imaging and information segments. Overall, the company reported a 3.4 percent increase in operating profit for the quarter.

Xerox reported a net loss from continuing operations of $196 million (roughly Rs. 1,245 crores) in the fourth quarter, mainly due to a one-off $400 million (Rs. 2,542 crores) charge as it sought to take advantage of changes to US tax law but also reflecting the steady decline in office printing.

“This has been a speedy decision, but I believe it’s a creative one,” Fujifilm CEO Komori told reporters at a briefing. “The new structure will leverage the strengths of our three companies.”

As part of its own restructuring, Fujifilm said it was cutting 10,000 jobs at Fuji Xerox, more than a fifth of its workforce at the joint venture, in the Asia Pacific region.

Sluggish performance at Xerox had prompted investors to call on the US company, which had owned 25 percent of the joint venture, to explore strategic options.

Xerox has been targeted by activist investor Carl Icahn and shareholder Darwin Deason, who joined forces last week to push Xerox to explore strategic options, oust its “old guard”, including its CEO, and negotiate better terms for its decades-long deal with Fujifilm. Icahn is Xerox’s biggest shareholder, with a 9.72 percent stake.

Xerox’s CEO said the combined company would gain an increased edge in new technologies, along with higher revenues and cost synergies, while Xerox shareholders would also benefit from a $2.5 billion special cash dividend resulting from the deal.

“This transaction…offers substantial upside for shareholders of the combined companies, including current shareholders of Xerox and Fujifilm Holdings, who will own shares in a more competitive company that has enhanced opportunities for long-term growth and margin expansion,” Jacobson said in a pre-recorded video message.

The takeover deal comes less than a year after Fujifilm admitted improper accounting standards at Fuji Xerox, but Komori said that Xerox’s strong governance standards could be beneficial to the new company.

Fujifilm shares fell 8.3 percent on Wednesday ahead of its announcement of job cuts but after the Journal report about a deal with Xerox. Xerox shares ended down 0.5 percent on Tuesday.

© Thomson Reuters 2018

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Man accidentally threw cash worth Rs 12 lakh in a trash bin; here’s what happened next

A man from China mistakenly threw a bag full of cash worth Rs 12 lakh in a trash bin. When he reached the bank, he saw that he had the other bag in hand that contained garbage. What happened next will leave you shockedchina-7593.jpg

A man accidentally threw away Rs 12 lakh in a trash bin, but got lucky. Read on to know what really happened. (Source: File Photo)

Ever made a careless mistake that cost you way too much? A man from Liaoning, China, walked out of his house with two plastic bags — one full of his household waste and the other with his hard-earned cash. Little did he know that he would throw the bag full of cash worth 1,24,000 yuan (approximately Rs 12 lakh) in the waste bin. According to media reports, the man known by the surname Wang, lost all his money and when he reached the bank to deposit money, he realised what was left in his hand was the garbage bag.

When he rushed back to the dump, he was unable to find the bag in the trash bin. He went to the police and lodged a complaint. The officers checked the CCTV footage and spotted someone discovering the bag and walking away with it. However, they didn’t have a proper clue about the missing bag due to the poor quality of the footage. As the police started interrogating the people in the locality nearby, a woman came forward and returned the bag full of cash to the police authorities.

Iranian women protest obligatory headscarf; Twitterati praise the bravery

Many Islamists believe hijab should not be imposed by the law, though they consider it a religious task for every Muslim woman. Both Rouhani and Supreme Leader Ayatollah Ali Khamenei support softer attitude toward women with improper hijab, but hard-liners oppose to easing such rules.

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Social media postings Monday showed at least five women in Iran protesting the obligatory Muslim headscarf by taking theirs off and waving them on sticks. The videos and photos showed individual women in separate locations in Tehran and Isfahan.

Masoud Sarabi, who witnessed one of the protests, confirmed the authenticity of a video shot on Tehran’s Enghelab Street. The others appeared to be authentic, but AP could not independently verify them. The women appear to be following the lead of a 31-year-old protester identified as Vida Movahed, who took off her headscarf on the same street in late December. She was detained for a few weeks and then released

Pink, Katy Perry, et al slam Grammys president for saying women need to ‘step up

Recording Academy president Neil Portnow has created quite a buzz within the music industry after saying that women needed to “step up”. This was in response to a question regarding the gender divide at the Grammy awarda function. His response has left many artistes fuming

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The 60th Grammy Awards 2018 have received multiple reactions from people on social media. While Ed Sheeran winning the Grammy award for Shape of You over Kesha’s Praying and Lady Gaga’s Million Reasons has upset many, Tweeple were furious after the Spanish hit Despacito didn’t win any Grammy. However, another controversy has cropped up after Recording Academy president Neil Portnow in an interview with Variety stated that women needed to “step up”, when he was questioned about the gender divide at the award function, where only one woman won a major award. His response did not go down well with American singer Alecia Beth Moore, who is professionally and popularly known as Pink. Taking to social media, the artiste penned down her thoughts and shared them.

In her post she wrote, “Women in music don’t need to ‘step up’. Women have been stepping up since the beginning of time. Stepping up, and also stepping aside women owned music this year. They have been killing it. And every year before this. When we celebrate and honor the talent and accomplishments of women, and how much women step up every year, against all odds, we show the next generation of women and girls and boy and men what it means to be equal and what it looks like to be fair.”

President Trump Delivers First State Of The Union Address: Highlights

In the hour-long address, Donald Trump spoke about the American economy and the tax cuts undertaken by his government. He also talked about “decades of unfair trade deals”, “immigration policies that focus on the best interests of American Workers and American Families”, “what kind of nation” America will be, and America’s “fight until ISIS is defeated” among others.

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In the hour-long address, Donald Trump spoke about the American economy and the tax cuts undertaken by his government. He also talked about “decades of unfair trade deals”, “immigration policies that focus on the best interests of American Workers and American Families”, “what kind of nation” America will be, and America’s “fight until ISIS is defeated” among others.

Ola to take on Uber in Australia

 

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Bhavish Aggarwal, CEO and co-founder of Ola, in Mumbai. File photo   | Photo Credit: REUTERS

The Indian cab aggregator said it is inviting private hire vehicle owners in Sydney, Melbourne and Perth,

Homegrown ride-hailing startup Ola on Tuesday announced its plans to enter Australia. The Bengaluru-based firm would be competing with Uber, a worldwide ride-hailing colossus, in Australia. The firm said it is inviting private hire vehicle owners in Sydney, Melbourne and Perth to learn more about driving and registering with the company.

“With a strong focus on driver-partners and the community at large, we aim to create a high-quality and affordable travel experience for citizens and look forward to contributing to a healthy mobility ecosystem in Australia,” said Bhavish Aggarwal, co-founder and CEO, Ola, in a statement.

Founded in 2011, Ola said it enables smart transportation options to over 125 million users in India. It does this through a network of over one million driver-partners that it hosts across over 110 cities. On an aggregate basis, Ola said it serves as many as a billion rides annually, through its platform.

Community focus

Ola said it is taking a driver-partner focused approach to ride-sharing — investing in its partners to arm them with the necessary tools, skills and incentives to offer best-in-class transport experiences. It said the firm is also recognized for its collaboration with governments and communities to solve local transport issues in innovative and meaningful ways. Ola said it will build on these values as it launches in Australia.

“We are very excited about launching Ola in Australia and see immense potential for the ride-sharing ecosystem which embraces new technology and innovation,” said Mr. Aggarwal.

U.S. lifts ban on refugees from 11 countries

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In this file picture international passengers arrive at Washington Dulles International Airport, in Dulles, Virginia, U.S.   | Photo Credit: Reuters

The United States announced on Monday it was lifting its ban on refugees from 11 “high-risk” countries, but said those seeking to enter the U.S. would come under much tougher scrutiny than in the past.

Applicants from 11 countries, unnamed but understood to include 10 Muslim-majority nations plus North Korea, will face tougher “risk-based” assessments to be accepted.

“It’s critically important that we know who is entering the United States,” said Homeland Security Secretary Kirstjen Nielsen.

“These additional security measures will make it harder for bad actors to exploit our refugee programme, and they will ensure we take a more risk-based approach to protecting the homeland.”

The 11 countries, hit with a ban in October in the Trump administration’s revised refugee policy, have not been identified officially.

But refugee groups say they comprise Egypt, Iran, Iraq, Libya, Mali, North Korea, Somalia, South Sudan, Sudan, Syria and Yemen.

Not a ‘Muslim ban’

Speaking anonymously, a senior administration official told journalists that the policy of enhanced security assessments for the 11 countries was not designed to target Muslims.

“Our admissions have nothing to do with religion,” the official said, adding that there is “nothing especially novel” about tougher screening for countries deemed to have a higher level of risk.

President Donald Trump has pursued a much tougher stance on immigrants and refugees from all countries since becoming President one year ago.

His predecessor Barack Obama set refugee admission in fiscal 2017, which began on October 2016, at 110,000.

When Mr. Trump took office a year ago, he slashed that to 53,000, a number that was cut again to a maximum of 45,000 in fiscal 2018.

But refugee arrivals this year could come in significantly lower than that, due to the backlog from the 120-day halt and a slowdown in processing because of generally tougher applicant reviews.

DHS would not explain what the tougher vetting measures for the 11 countries would include.

But all applicants are being asked to supply more detailed histories and evidence of their past activities, and many are having to allow access to personal electronics and social media accounts.

The move comes as Mr. Trump presses for a sharp turn in overall U.S. immigration policy that critics say will result in a 50% cut in arrivals each year and bias admissions away from African, Asian and Muslim countries.

Last week, Mr. Trump proposed to end the 27-year-old “green card lottery” programme that aims to diversify the source of immigrants, leading to an upturn in those from Middle Eastern and African countries.

He also proposed to tightly limit the family members who can join immigrants to only spouses and younger children. Until now, such “chain migration” could extend to immigrants’ parents, grandparents, siblings and extended family.

The White House said the policy was necessary to protect national security from terror and crime threats.

In return, Mr. Trump proposed a plan that offers 1.8 million young unauthorised immigrants known as “Dreamers” a path to citizenship over 10-12 years.

Democrats and Republicans are starting negotiations on those proposals, along with Mr. Trump’s request for a $25 billion “trust fund” to build a wall on the southern U.S. border to deter illegal border-crossers from Mexico.