|
|
Пишет Abu Antos' (![[info]](http://lj.rossia.org/img/userinfo.gif){kind=small} syarzhuk)@ 2009-11-04 15:41:00 |
 |
|
 |
|
|
|
|
|
|
 |
|
 |
Cost synergies
When one company buys another one they usually justify it in "cost synergies". "The driving motivation of the transaction is the present value of the $350 million in annual cost synergies
If I understand correctly, this means, simplifying things: before merger each company has 10 workers in the accounting department; after the merger the combined accounting department will have 15 people, so the salaries and expenses for the 5 "extras" are "cost synergy". Doesn't it mean that the original departments were overstaffed in the first place and the "cost synergy" - making 15 people do the work that formerly was done by 20 - could be achieved without the merger by shrinking the original departments to 8 from 10?
When one company buys another one they usually justify it in "cost synergies". "The driving motivation of the transaction is the present value of the $350 million in annual cost synergies
If I understand correctly, this means, simplifying things: before merger each company has 10 workers in the accounting department; after the merger the combined accounting department will have 15 people, so the salaries and expenses for the 5 "extras" are "cost synergy". Doesn't it mean that the original departments were overstaffed in the first place and the "cost synergy" - making 15 people do the work that formerly was done by 20 - could be achieved without the merger by shrinking the original departments to 8 from 10?
