The move cost NCR roughly $25 million at a time when it had little extra new cash to spend, according to Gil Luria, who follows NCR for Wedbush Securities. In fact, NCR saw a $30 million loss from continuing operations in 2009.
So, was it a smart move? The answer depends on your point of view.
In NCR’s view, the move made perfect sense. Company officials declined to discuss the move last week, but previously said the move would facilitate growth in an extremely competitive business climate.
From Luria’s perspective, “the jury is still out” on whether the move was financially savvy. From a former employee’s point of view, the move was arguably ill-advised.
Steve Beaty, 38, of Clark County, declined an offer to move to NCR’s new headquarters. He believes NCR paid a cost that won’t be found on a balance sheet. “You can’t uproot a company where people have worked for 25 years and 30 years and not expect to have some knowledge loss,” Beaty said.
Contact this reporter at (937) 225-2390 or tgnau@coxohio.com.
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