In three pages this paper discusses the company in terms of mission statement, financial status, strategy, and compares it to other industry counterparts in terms of post merger performance. Three sources are listed in the bibliography.
Name of Research Paper File: TS14_TEaoltw1.rtf
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and scale following the acquisitions of Time Warner by AOL may also be seen as a corporate level strategy. As the worlds largest internet providers and a company with many
entertainment interests this may arguably be seen as s stratagem that is already being realised. As well as the companies in the corporate group name there are also Turner Broadcasting,
New Line Cinema and Home Box Office (AOL Time Warner, 2003). 1.2 The Mission Statement. The mission statement for AOL Time Warner is very simple "To become the worlds
most respected and valued company by connecting, informing and entertaining people everywhere in innovative ways that will enrich their lives" (AOL Time Warner, 2003). 2. Financial Analysis. 2.1 Position against competitors
AOL Time Warner in comparison to the sector and industry may be seen as in a weaker position than its competitors. This is reflected in the beta of 2.67 which
is higher than the industry average which is 1.88 and sector which is 1.87 (Yahoo Finance, 2003). AS the company is still in a loss making position this may also
be seen as much weaker than the industry. The EBITD is -95.56, against an industry average of -9.63 and a sector average of 15.11 (Yahoo Finance, 2003). However there
are some more favourable points, the revenue per employee is higher than average at $448,888 compared to $274,878 of the industry and $379,056 for the sector (Yahoo Finance, 2003). 2.2 Position
compared to 1999 The merger of Time Warner and AOL created a large company, However, these types of mergers take time to
realise real value. The revenue has increased massively, with 2002 having revenues of $41 billion, 2001 having revenues of $38.2 billion with the 2000 figure of $7.7 billion (Wall Street