Regardless of strategy problems, APOL is being managed responsibly from a financial perspective. Cost cuts, however ugly, are in-line with revenue declines. Remember, management is accountable to the shareholders.
The problem is the sense of timing and messaging. Why have layoffs and bonus payouts the same week? What message are you trying to send?
And what's with Sperling? First the ridiculous retirement package (seriously folks, what's a 90+ yr old billionaire need with $5M, healthcare, and two cars!?!?) and now cashing out stock right after major layoffs. At what point do you consider how you will be remembered?
Why fuel the fire? A demotivated/disgruntled worker is far worse than no worker at all. A little more thought into managing impressions w/ the workforce would go a long way (at least give us the nod acknowledging that you did actually think about how actions impact motivation (= productivity).
Performance bonuses paid out to all bonus-eligible employees (primarily VPs, Directors, Managers, senior ICs) last Friday - 95% of target.
New COO hired w/ comp package likely worth 1.6M in year 1, and between 1.8M and 3M in following years (actually, quite unreasonable by large company standards).
Stock up since last Tuesday... Sperling cashed out $10M.
Insider Transaction: $APOL Sale at $28.23 per share of 25924 shares by Officer Pepicello William John on 2013-10-25.
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Insider Transaction: $APOL Sale at $27.80 per share of 4793 shares by Officer Langenbach Jeffrey G on 2013-10-25.
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Insider Transaction: $APOL Sale at $27.83 per share of 350000 shares by Other Sperling John G on 2013-10-28.