Now that he resigned from the board, Jim Balsillie is totally gone from Research in Motion, except perhaps as shareholder. He’s been selling his stock for years though and will probably accelerate his sales now.
As I said in The Globe recently, you knew the fourth quarter results would be bad because otherwise the two CEOs would not have resigned. They would have stuck around to take credit for a turnaround – it really is as simple as that. Now that Balsillie is leaving the board, rest assured that things will get worse.
RIM is a classic tale of failure by a board of directors. Notwithstanding what Roger Martin told The Globe, he and his fellow directors (including Balsillie and Lazaridis) botched it. There is no one to run the company. The new guy has no clue (“we can’t be all things to all people,” he says, and vows to focus on the business market, even as most businesses let employees choose what phone they want to use), and all the senior people are leaving. They had no plan, zero.
And worse, RIM is now losing money. This board authorized a share buyback even as the two CEOs sold their stock.
Good to know Roger Martin is the dean of the UofT business school.