Thread regarding Solventum layoffs

SOLV layoffs. Strategy. Stock ROI. Growth. You can't have them all

Bryan appears to either be simple-minded on his approach to running SOLV (into the ground) or being directed by a higher power or deity who has no idea how to run a HC company (Peltz). Either way, he has once again proven that the GE style (Welch, McNerney, Nardelli) of "leadership" simply emaciates a once-strong company into a parceled mess of unrelated businesses waiting for a spin or break-up.

Thankfully, I got to leave during the Covid wave of layoffs and enjoy retirement and coffee mornings on the porch, but still care from time to time about what was left behind.

When Bryan was named CEO before the actual spin and gave his first townhall, people on this board sounded so optimistic, which made sense since Roman was a complete buffoon as CEO. Not sure if he talked much about actual strategies for growth and investment or he just used soothing words and bubblegum phrases to get people to like him, but the shine has clearly worn off.

Annual layoffs, as occurred at 3M under Roman and now at SOLV, only prove you have either NO long-term strategy except for HOPE or you have a strategy that changes faster than the weather in Minnesota every spring and fall day. Either way, Wall Street has (finally!) learned that such a "strategy" is a loser and has kept SOLV stock changing mostly sideways while the SP500 is up over 15%.

Having read a few of the public SOLV releases to shareholders, it appears that SOLV is not likely to have any major runout during Bryan's term. NO long-term growth = no long-term ROI. He has never indicated either to employees or Wall Street what his plan is to reduce the massive debt 3M left in his mailbox. He is the antithesis to Lee Iacocca who earned $1 per year and potentially worthless stock options while flying commercial to DC to lobby for loan guarantees.

Perhaps the only strategy that will work is a series of mergers and spins with other HC companies to spread the debt across multiple companies, hopefully stronger and run for growth. But where would this leave Bryan and his guaranteed 40 million per year? That's the sting! I'm convinced a McKnight CEO would quickly be forced out by some activist investor wanting a quick return for their buck like Peltz.

If there's any consolation, Peltz is basically sitting on dead money with 600+ million invested, almost zero gain on the stock price, and no dividend for perhaps years to come. No wonder he keeps pushing for more layoffs. But the layoffs people talked about this week appear to wiping out business critical roles that will only hurt SOLV and help the competition.

Sorry to hear about this 2nd round of Holiday layoffs. The people at 3M/SOLV deserved much better than Roman, Hanson, and Brown.


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| 1441 views | | 4 replies (last November 14) | Reply
Post ID: @OP+1k9z28dx2

4 replies (most recent on top)

@c5 That's the thing. You're now in one of the top positions at a healthcare company, but you can't even be healthy yourself?

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Post ID: @e1+1k9z28dx2

@c1 The T&E budget (which includes booking one butt into two 1st class seats due to size requirements) will be very costly. Plus dining out bills that could exceed $2000 per week. Great job Bryan. Can't you hire someone for an important role who can fly in one seat Comfort+ and get by on $100 bucks per day buying healthy subs at Subway and Jersey Mikes and ponying up to Tireman's Starbucks for a midday coffee?

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Post ID: @c5+1k9z28dx2

I am worried now after reading all these posts

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Post ID: @c1+1k9z28dx2

Regarding Iacocca, knew an electrician who worked at Chrysler in the 1980s. UAW guy. He told me the shop employees who belonged to the UAW idolized Lee because he was willing to go all-in for $1 plus stock options that would have been worthless had the company not come back to life.

Enter Bryan. Gives an uplifting hopeful townhall when he's introduced. The spin happens and things look good. Then he gets bullied by an outsider to "transform" the company (a guy whose claim to fame was making $700 million in three years turning around Snapple). What does Snapple have to do with a newly independent HC company? Absolutely nothing but money to buy SOLV shares.

Getting 40 million PER YEAR for underperforming the stock market by 15% over the last 18 months is why people get angry with CEOs who are not Lee I. This guy is a fraud with a (hidden) receding hairline and Botox treatments to look 10 years younger.

Someone mentioned his is like a pirate pillaging his bo--y before he sails off to (probably) ruin one of the 3M spins than Bill Brown is contemplating. Sickening! And sounds like one of his hires (nicknamed Queen Ki-ler Bee of Buffets) crashed Baxter shares while probably grabbing some free snacks on the way out the door.

What a freaking mess of what was once a great business in a great company.

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Post ID: @bx+1k9z28dx2

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