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Forums - Sony Discussion - SONY set to JUNK status

People don't post in Kowen's thread anymore because so many always posted that it will be alright and came up with arguments why in the future sony will be doing better and the status will not decrease... I think it is only a few weeks ago that we got threads how sony will for sure not fell lower...And now they did..



 

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Sony is in a very bad state, and it has nothing to do with whether you like their games or not. They have massive debt and shrinking market share in most divisions. They can cut staff, but less resources means poorer products. Even if they hit a few homeruns with new products, cut costs and start turning billion dollar profits, it would take a decade or more to be out of debt. Since as of right now they are still turning losses (in large part due to high interest), it's more likely that their debt will continue to grow until bankrupcy. That's why firms are saying they are an investment with a good chance of loss.

Someone mentioned how Nintendo turned it around... that comment isn't grasping what's going on here. Even when Nintendo had a tiny market share it was turning profits and had no debt. This isn't about the games, it's the financial state of the company.

I'm an investor. Sony would likely be a horrible choice to invest in. Good chance of losing your money. If you want to invest in game stock, take a good look at Nintnendo. Their massive cash reserves make them pretty safe.



kowenicki said:
joeorc said:
kowenicki said:
joeorc said:

S&P and Fitch accused of market manipulation in Italy
Italian prosecutors have filed charges against Deven Sharma, the former president of Standard & Poor’s, and six other credit rating officials for issuing downgrades that destablised the country and fuelled the debt crisis.

12 Nov 2012

 

 

If the Trani judge gives the go-ahead, it could be a test-case for dozens of other efforts to sue the credit rating agencies. Despite widespread criticism for failing to realise the debt they were rating as AAA was highly toxic, the agencies have so far managed to protect themselves from prosecution by claiming that their ratings are only opinions. In America, they have claimed protection under free speech rules.

More than 60 cases against the agencies are thought to have been filed around the world following the financial crisis but none with much success.

A breakthrough came three weeks ago when an Australian court ruled that S&P misled 12 councils in Australia by awarded a AAA rating to derivatives products created by ABN Amro which imploded less than two years after they were sold.

In July, McGraw-Hill, the American owners of S&P, admitted in a filing that US regulators, including the Securities & Exchange Commission and the Department of Justice, are investigating S&P’s ratings of structured products.


http://www.telegraph.co.uk/finance/financialcrisis/9672943/SandP-and-Fitch-accused-of-market-manipulation-in-Italy.html

 

"According to Adusbef and Federconsumatori, the three rating agencies, which are investor-driven companies, manipulate the financial markets to benefit their investors, and thus create a conflict of interest. 


“The world's biggest fund management companies are among the rating agencies' shareholders. Warren Buffet's Berkshire Hathaway, Fidelity, State Street, Blackrock and Morgan Stanley Investment are just a few of Moody's shareholders. Moody's is being used by its shareholders to influence the market so to increase their share value and profits,” Avallone added.


The Italian court of accounts has estimated that the three agencies caused damages of over 120 billion euros to Italy's economy from May to November 2011. "

http://www.presstv.ir/detail/2012/07/26/252919/moodys-accused-of-giving-false-figures/

 

Whats your point?  That the ratings agencies were too soft in the past and need to be harder and more analytical?  I agree.  Hence Sony now has Junk status.

This relates to banks and the hiddent toxic debts that the agencies didnt know about.  They are essentially saying they should have know about them and warned the world.  Italy would be better looking in the mirror and stop trying to blame a rating agency for years of corruption and bad fiscal management.

This is very much a case of shooting the messenger. 

"This is very much a case of shooting the messenger. "

no, its about using their company to manipulate market's , and how many people such as your self hold these agencys harmless of such manipulation.

there is a reason why many people do not post in sections that you post in. because its always a negative post. 

when the dog gets kicked so much, people tend to keep to themselves, thats why there is a lack of exciting back n forth in threads like this anymore because when your on the loosing end of every thread there is no point in going further, its not about keeping the head in the sand, its about after a while why argue about it. hey you were right about the situation, about Sony, you get a cookie, does that make you feel better about yourself?

many people asked why many ps3 fans do not post in other sections and keep to the psvita section, and its a safe haven for fanboys. well  the answer is quite simple being the butt end of pretty much all the jokes on the internet about Sonys fans kinda gets tiresome.

when many gamer's act like Sony fanboys are just getting a taste of their own medicine, than so be it its like many people just want the ps3 Fanboys are seen as the worst offenders on this site and pretty much every gamer centric site they are seen as children that need to sit down and shut up and let the big boys talk and  not say a word because we know more than you do. well guess what you and others are getting your wish, and that is one of the reasons with the many snide comments of many gamers on this forum always poking fun of anything and every thing sony just to get back at gamers, just remember what comes around goes around. more negative karma as you reap so shall you sow. 

people wonder why many ps3 fanboys do not post in sections now its because being the butt end of jokes wears thin after a while even a fanboy can figure that one out.

its your arrogance that rub's some people the wrong way. its not really about what you post.

Well all of that was a waste of your time.  I couldnt give a toss about what people say about me or my threads here.  Your explanation is weak to be honest and you come across as a bit of a victim.  If there is a constructive contra pint then makle it.  The reality is that the reason why my posts are frowned upon by many is simply because they are purely factual.  You simply cant argue with facts. You cant hide from facts and its difficult to spin them.   In other words they are the nemesis to a fan boys mind.

Anyway,

Back on topic. I was actually talking about the article you posted.  You completely missed my point.  I was saying that the article you posted was about shooting the messenger, "the messenger" being the rating agencies.  I wasnt talking about you shooting me down as a messenger.

and once again there is your arrogance, you come across as belittling any and everyone that gives you a response that is not a yes i agree with you response

"I couldnt give a toss about what people say about me or my threads here, but yet you continue: Your explanation is weak to be honest and you come across as a bit of a victim."

where am i coming across as a Victim. the counter point is the very fact that these credit agencys are under investigation right now in the same month as they are downgrading companies and are under investigation for Market manipulation.

you bring up credit agencyts as part of your post, and put in your points but so did I these credit agencys cannot manipulate the Market?

this is not just because of Sony, other companies and even countries are bing downgraded, the United states credit rating was downgraded.

but yet you do not post about these very same  credit agency's  being under investigation for market manipulation?




I AM BOLO

100% lover "nothing else matter's" after that...

ps:

Proud psOne/2/3/p owner.  I survived Aplcalyps3 and all I got was this lousy Signature.

kitler53 said:
DanneSandin said:
Where IS the Sony defense force??

what's there to say.  kowen's OP has no spin or even conclusions.. just a fact of sony's financial situation so there is nothing to argue. most everyone else is just trolling which is funny because most can't understand what this means anyways.  so i have nothing to add.  besides, kowenicki has been putting up a thread like this every couple weeks for the last 2 years.  if i had anything so say i've said it long ago. 

I'm simply used to see certain people getting in on threads like this sayin "Sony's doin' fine! Fine I tell ya!"

But it seems like kowen has it in for sony like turk has it in for nintendo :p



I'm on Twitter @DanneSandin!

Furthermore, I think VGChartz should add a "Like"-button.

Meaningful recovery will be slow, given the company’s loss of technology leadership in key products, high competition, weak economic conditions in developed markets and the strong yen,” Fitch said in today’s ratings statement

Thats 4 major obstacles that I think no CEO can overcome, especially the high yen.



Xbox: Best hardware, Game Pass best value, best BC, more 1st party genres and multiplayer titles. 

 

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TheLastStarFighter said:
Sony is in a very bad state, and it has nothing to do with whether you like their games or not. They have massive debt and shrinking market share in most divisions. They can cut staff, but less resources means poorer products. Even if they hit a few homeruns with new products, cut costs and start turning billion dollar profits, it would take a decade or more to be out of debt. Since as of right now they are still turning losses (in large part due to high interest), it's more likely that their debt will continue to grow until bankrupcy. That's why firms are saying they are an investment with a good chance of loss.

Someone mentioned how Nintendo turned it around... that comment isn't grasping what's going on here. Even when Nintendo had a tiny market share it was turning profits and had no debt. This isn't about the games, it's the financial state of the company.

I'm an investor. Sony would likely be a horrible choice to invest in. Good chance of losing your money. If you want to invest in game stock, take a good look at Nintnendo. Their massive cash reserves make them pretty safe.

and yet as an example:

 Sony is under restructure right now but yet in such a short point of time we are talking about less than 6 months these credit agencys have cut companies value down to junk in under 6 months even when these companies are trying to fix their problems like cutting 10,000 freaking jobs cut TV production by 60% but has told investors before hand how long its going to take to acomplish such changes. but yet even with these steps taken as a new CEO who just took over has taken a very proactive measure to fix the problems its now no longer fast enough, thus damaging the stock further making further hardships to fix any problems moving forward.

this is exactly why in this very same month that these credit agency's are under investigation for market manipulation! this is just not one company but many companies, and the people in charge of these credit rating agencys are hedge betting and you do not think there is one iotta of any market manipulation going on? if that it couldsnot happen ?, its one thing to say these companies are above board and no manipulation could ever take place, but with anything "People are in charge" and people  have been known to steal, people  have killed other people, people have been known to steal million,and millions of $$$ in the market .



I AM BOLO

100% lover "nothing else matter's" after that...

ps:

Proud psOne/2/3/p owner.  I survived Aplcalyps3 and all I got was this lousy Signature.

Next gen in gaming based on this can translate to MS having more powerful hardware and simply throwing more cash around and outright outspending Sony into last place again.



Xbox: Best hardware, Game Pass best value, best BC, more 1st party genres and multiplayer titles. 

 

I predict Samsung buying Sony, with a news about Samsung planning to enter gaming market, I wouldn't get surprised if they buy Sony and continue Playstation brand.



I knew it... as i said on the other thread when they were one level above trash. When moody's sets their eyes on a target, they dont let it go until its been ravaged.

This is not good at all. Sony will be totally unable to take any losses with price cuts. That Vita price cut might even take longer than expected, and the PS4 will also be in trouble at this pace. They really need to separate the departments or all of them will go under.



kowenicki said:

To help clarify..... here are the Fitch ratings:  SONY long term rating is BB- ,so BB but moving toward B.  Short term is now BB, which is equivalemt to BB or B on the long term scale below)

 

So BB- is junk as in how a 6 for a game is worthless piece of crap?