[_StephenBB81]

RIM’s new CEO steps up to plate for quarterly results - The Globe and Mail

The company that Mike and Jim built is now the company that Thorsten Heins must fix.

When Mr. Heins took over as CEO of BlackBerry maker Research In Motion Ltd. (RIM-T13.67-0.08-0.58%) from long-time co-chiefs Mike Lazaridis and Jim Balsillie in January, he inherited a stumbling giant. The previous quarter�s results were a disaster as RIM announced a delay of new smartphones meant to save the company, the now-departed chief executives slashed their salaries to a dollar, and the stock price tanked.
Mr. Heins will oversee his first quarter as RIM's CEO this Thursday when fiscal fourth-quarter results are released. Few expect any sudden improvements in the company�s fallen fortunes, and Mr. Heins has no shortage of challenges to attack.

RIM�s BlackBerrys have lost market share in droves, with products that seem uncool compared to rivals like Apple Inc.�s iPhone. Several analysts have cut price targets on RIM�s already battered shares, warning of weaker BlackBerry sales and the possible deterioration of RIM�s overseas expansion.

Mr. Heins� views when taking on the top spot from his role as chief operating officer were that the company is basically on the right track, but needs to streamline its internal processes and get better at marketing. Some critics worried he hasn�t conveyed an urgent enough message about RIM�s need for change. Now with RIM�s trail-blazers gone from their co-CEO roles, it is Mr. Heins who will be answering in full for all of RIM�s troubles, and will be responsible for defining a clear strategy going forward.

�Thorsten needs to earn credibility,� says Kris Thompson, an analyst with National Bank Financial. �To start, hopefully he will answer questions directly. He (also) needs to issue conservative guidance and try to beat expectations.�

In the lead-up to Thursday�s results, analysts have become increasingly bearish on the company. Peter Misek of Jefferies & Co. Inc. cut his target to $12 (U.S.), said sales of RIM�s high-end handsets were slowing because of Apple and devices running Google Inc.�s Android software, and mentioned that sales may have also slowed in emerging markets such as Latin America.

Barclays Bank PLC analyst Jeff Kvaal said in a recent note that RIM�s current crop of BlackBerry 7 devices are �aging rapidly,� and that checks revealed demand for them was �poor.� Bernstein Research�s Pierre Ferragu warned that consensus estimates of results are likely too optimistic, and was pessimistic on the company�s outlook ahead of the BlackBerry 10 devices due out in late 2012 � which are based on technology RIM acquired by buying QNX Software Systems� and even after that.

�With the very disappointing strategic directions new management took, we recognize that remaining short on RIM is tempting,� Mr. Ferragu wrote. �We think the company will continue to lose traction until it showcases its next generation of products based on QNX, and the latter is very unlikely to generate renewed consumer traction.�

In the near term, though, there are several things Mr. Heins could announce, even if the company is still in the very early days of his leadership. He could unveil changes to the company�s senior management, detail tweaks to the internal processes he previously decried as taking too long to get innovation out the door or offer hints on strategic licensing deals for RIM�s next-generation software with hardware rivals, such as Samsung Electronics Co. Ltd.

�In many ways, his management can only just be starting to kick in at the higher level,� says a former RIM executive who did not want to be named. �He was actually leading manufacturing and sales prior to taking the full CEO role, so there is some degree of continuity. What I expect he should be able to report is that he�s � cleaning up distribution, working on sales and marketing in North America.�

Noting that heavy discounting of the PlayBook has jump-started sales of RIM�s much criticized tablet, the former executive added, �I think he might be quite bullish on PlayBook.�


EYE ON RIM�S RESULTS

What investors will be looking for:

* The new chief marketing officer that Thorsten Heins promised when he took over as RIM�s CEO.

* Whether RIM has, again, missed on earnings guidance.

* Clarity on RIM�s performance in the United States, RIM�s most valuable market, where BlackBerry market share has collapsed as Apple Inc.�s iPhone and devices running Google Inc.�s Android software see huge growth.

* Signs of RIM�s continued overseas success, at a time when RIM�s emerging market strongholds are seeing fresh competition from Android-using cheap handset makers, such as Huawei.

* Whether the latest BlackBerry 7 devices, such as the touch screen Bold 9900, are selling better than the pessimistic market impressions � and if so, in what markets.

* Fresh insight on what the PlayBook�s renewed sales mean for a renewed BlackBerry platform, particularly with regard to third-party application development.

I am very hopeful that Thorsten will come through with some details of where phones are going It would be nice to actually get info from the horses mouth since they "market research" info that is coming out is increasingly negative, would be nice to see how accurate that research has been.

[530XI]

He's going to have to show confidence and strong leadership. If he conveys the impression that he's weak or has no vision this company is as good as done. And I certainly hope that's not the case.

[BEARD GANG]

Is this also a Chance for him to answer some questions on how bb 10 going ?? Or is that something else

Sent from my BlackBerry 10 Device

[_StephenBB81]

Is this also a Chance for him to answer some questions on how bb 10 going ?? Or is that something else

Sent from my BlackBerry 10 Device

usually you won't discuss product development on an earnings call

[BEARD GANG]

usually you won't discuss product development on an earnings call

Wasn't it on the last earnings call that lazaridis told about tye delay of the bb 10 phones ??

Sent from my BlackBerry 10 Device

[berklon]

The results aren't going to be pretty... and won't be for quite some time.

[lnichols]

Marketing has to be addressed, and they need to be read for a full court marketing press when BB10 arrives. The old model of relying on the carrier to sell and market the devices is not working in developed markets with lots of choices. In fact we see so many stories here of people being discouraged from buying a Blackberry in favor of iPhones and Android devices by sales people in corporate stores. RIM needs to stop bowing down to the carriers in these markets for this same reason and release what end user wants, not what the carrier wants. If the carrier is going to discourage people from buying Blackberry, then you don't have a great carrier relationship (they love to tout that in these calls), and you don't owe them anything especially crippling devices by stripping out services because the carrier says so. End user is driving what sales in the US, not the carriers.

[BEARD GANG]

Rim are looking to sell off the consumer chain of their business... Android or ios here we come lol

--------------------------------

"...The Lord Painted The Great Picture Of The World.. Forget This Picture, And Remember The One Painter..."