why to head down south?, page-3

Hmmm... selected excerpts from recent article in the Age ... CBA is problematical and Murray is not doing enough as I have posted before.

"CBA boss David Murray held the line on cash earnings, and the bank upped its June half dividend. But its funds management and insurance business disappointed, and Murrayhas a lot riding on the outcome of a culture makeover."

"CBA's banking result was sound, but its funds management business is still problematical. Funds management and insurance assets accounted for about half the $9.1 billion CBA paid for the Colonial group over three years ago, but the combined CBA-Colonial funds management operation earned only $208 million in the June year, down 43 per cent. Its profit in the June half was only $73 million."

"That's a result that puts pressure on a restructuring of the bank's customer interface that CBA is undertaking with McKinsey & Co. Murray said yesterday that 32 information systems would be rationalised as part of the makeover. If it works, jobs will go, and costs will fall."

"But it remains to be seen whether it amounts to a "complete transformation" of the bank's service culture as Murray promised yesterday."

Source: http://www.theage.com.au/articles/2003/08/20/1061368353379.html
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Cheers ...tight stops.


This is only my view ... read the red stuff.