Ibm: A Work In Progress

Louis V. Gerstner Jr. certainly isn't catering to his public. For more than three months now, since he took over as chairman and CEO of IBM, everyone from computer pundits to big investors has been seeking a grand strategy from Gerstner, seizing on his every word and leaked memo as a sign of where he is taking the world's largest computer company. Finally, on July 27, Gerstner gave them the news--and in spades: He announced a monster $8.9 billion restructuring charge against second-quarter earnings. And he wouldn't even promise that this would be the final blow--further restructuring will be needed if business worsens, he warned.

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