Rebirth: Dominate The World, Starting From The School Network

Chapter 425: There Is Food At Home, So I Don’T Feel Panic

Future Group, internal executive meeting.

Lu Qi looked at everyone present and said: "Recently, negative news about subprime mortgage bonds has been breaking out on Wall Street. North American home sales have continued to decline sharply. Among them, CFC, the largest subprime mortgage company, has reduced its mortgage loans."

"The most serious thing is that New Century Financial, the second largest subprime mortgage company in North America, is facing a $17.4 billion debt squeeze from Wall Street. In the past two days, it has publicly declared that the company is on the verge of bankruptcy."

"Affected by the subprime mortgage market, U.S. stock indexes fell sharply across the board, with the Dow Jones Index falling by 3.3%, the S&P Index falling by 2.9%, and the Nasdaq Index falling by 2.5%.

"Although our group's stock price has not been greatly affected for the time being, the subprime mortgage crisis in North America cannot be underestimated."

"Now a series of negative news are constantly breaking out, the public's panic is constantly fermenting and spreading, and the panic index continues to soar. According to the predictions of the relevant team within the group, it may trigger a systemic financial crisis." storm."

"Moreover, the radiation surface of this storm will not be limited to North America, but will most likely affect the whole world. No one will be able to stay out of it."

Although Lu Yi had long known that a financial crisis that was about to sweep the world would break out.

However, the group of top financial talents maintained within the Future Group are not just freeloaders. By making predictions from various information in North America, they have already predicted that a financial crisis is approaching.

Everyone has to pay attention to this kind of thing.

Although Future Group, including the entire technology stocks, has been minimally affected at this stage, this is because the crisis has not completely broken out yet.

Once the crisis breaks out completely, it will not affect a single stock, but the whole world.

This kind of impact will be affected even if Future Group has nothing to do with subprime mortgages.

after all.

If a crisis breaks out in other companies, advertising investment will be reduced, which will naturally affect the group's future revenue.

The larger a company is, the more it will be unable to avoid this kind of financial crisis, and the impact will be more obvious.

not to mention.

More than 70% of Future Group's revenue comes from overseas, of which nearly 40% comes from North America.

"So far, the company's revenue in 2007 is 5.388 billion gold, and the revenue in the first quarter is expected to reach about 5.9 billion gold. This data has declined significantly compared with the fourth quarter of last year. It can be seen that the substandard situation in North America is The subprime mortgage crisis has had a certain impact on the company's performance.

"Of course."

"Last year we conducted a financing and raised 1,052 meters of gold."

"Currently, the company's cash flow in its accounts is 15 billion meters, which can be used for turnover at any time to cope with various emergencies."

“Among them, 11 billion meters of gold are overseas and the rest is domestically.

When everyone heard this, they felt relieved.

Then he turned his attention to Lu Yi.

Last year, the company's accounts were not short of money, but Lu Ti still made 10.5 billion yuan in side investments.

At that time, everyone didn’t think much about it, but as 2007 entered, negative news continued to break out in North America, and there was a feeling that a storm was coming. Now looking at Lu Yi’s financing decision last year, there are some different thoughts. .

Could it be that last year, Lu Yi had foreseen that there would be a crisis in North America that would affect the whole world?

If it had not raised 10.5 billion gold last year, the company's current cash flow in its accounts would only be about 4 billion gold.

As a giant with a market capitalization of over 200 billion meters, facing a financial crisis with only 4 billion meters of cash flow is definitely a very dangerous thing.

"Director Lu, you wouldn't have foreseen the situation in North America this year last year, so that's why you raised 10.5 billion meters of gold last year, right?" A senior executive said, and he seemed to have averted everyone's doubts.

Now everyone is basically not panicking because the company now has plenty of money.

The cash flow of 15 billion meters is equivalent to 117 billion yuan. The most important thing is that the company does not have any debt. Even if the financial crisis does break out and sweep the world, the company can survive the cold winter steadily.

Faced with everyone's gazes asking for answers, Lu Yi smiled and said, "That's right. In fact, the negative news about the North American subprime mortgage market did not just break out this year. It already appeared last year."

“Subprime mortgage defaults are rising, banks are lending loosely, investors are getting loans with ease, house prices are falling, etc. You can notice it with just a little care...

“Of course, when it comes to financing, the most important thing is of course the development of the company.

Hearing this, everyone nodded and their eyes became more admiring.

As expected of a boss, he noticed the signs last year and started taking action.

After hearing this, Lin Qingya rolled her eyes.

"According to the estimates of the company's internal team, the subprime mortgage market in North America is intensifying, and this financial crisis may be inevitable.

"But we don't need to panic. The 117 billion reserve fund is our most stable ballast. Just wait and see what happens."

"Moreover, the explosion of subprime mortgages in North America is not necessarily a crisis for us. With more than 100 billion in hand, we can just take this opportunity to buy high-quality assets at the bottom."

Having said this, Lu Yi's expression became serious.

"While North America's home is on fire, we can take advantage of it."

"Lao Lu, there are a few things to do next."

"The first is to take this opportunity to quickly build our data center. Now that there is a fire in North America, there is much less resistance.

"The second is to be prepared to acquire Sun Micro. Wait until the second half of the year, depending on the situation, and actively initiate an acquisition invitation to Sun Micro."

"The third is to launch a round of stock buyback plan. According to the behavior of North America, if there is a fire at Gate 1.1 of our city, we will definitely try our best to pass the crisis to other countries. By then, this financial crisis will most likely evolve into a global financial crisis. Storm. At that time, our group’s stock price will definitely be pushed back to a low level, which is a good opportunity to repurchase shares.”

"clear!"

Lu Qi nodded, with a wolfish light shining in his eyes.

As the saying goes, if you have food at home, you will not panic.

If we can seize this opportunity, the group will not only not decline in the storm, but also have a great chance to be able to make a profit.

Not only can it acquire high-quality assets in North America at low prices, it can also expand the strength of the group.

After the storm passes and the stock price rises sharply, you can make a huge profit by selling the stocks you repurchased at a low price!

This is definitely the best interpretation of "crisis is also an opportunity". .