Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

4-Traders Homepage  >  Equities  >  Nyse  >  International Business Machines Corporation    IBM

SummaryQuotesChartsNewsAnalysisCalendarCompanyFinancialsConsensusRevisions 
News SummaryMost relevantAll newsofficial PublicationsSector newsTweets

International Business Machines : Judge orders IBM to post $25M bond in Indiana welfare case

share with twitter share with LinkedIn share with facebook
share via e-mail
0
01/03/2018 | 08:40pm CEST

INDIANAPOLIS (AP) — IBM Corp. must post a $25 million bond as it appeals a $78 million judgment in a long-running case that stems from the company's failed effort to automate much of Indiana's welfare services, a judge has ruled.

Marion Superior Court Judge Heather Welch issued the order Tuesday while granting IBM's request to halt enforcement of the full monetary judgment as its appeal is pending. The company has two weeks to post the $25 million, which is Indiana's maximum for an appeals bond.

Armonk, New York-based IBM has appealed Welch's finding in August that the technology and consulting giant owes Indiana$78 million in damages from its botched attempt to privatize and automate the processing of Indiana's welfare applications.

The judge said in Tuesday's order that IBM had argued that its "financial strength proves that it will have the means to pay" about $90 million — the amount the award is expected to grow to, with interest, over the two years its appeal will likely take before Indiana'sCourt of Appeals.

She noted in approving the $25 million bond that Indiana's attorneys had sought "more certainty" that IBM would be able pay up if its appeal fails. But Welch wrote that Indiana's concerns about IBM's long-term viability, and its ability to pay the full amount, seem "highly unlikely except under extreme circumstances" given the company's annual revenues in the billions of dollars.

"To no longer be viable, IBM would have to suffer a disaster or Enron-Ievel scandal to no longer be a viable company in the approximately two-year appeal process," she wrote.

John Maley, a private attorney representing Indiana, praised the judge's "prompt ruling" coming a month after she heard arguments in the matter. "We're pleased that IBM, like all others, is required to post this bond," he said Wednesday.

IBM spokesman Clint Roswell said the company is happy with the ruling, and planned to release a statement later Wednesday.

Indiana and IBM sued each other in 2010 after then-Gov. Mitch Daniels cancelled the company's $1.3 billion contract under which an IBM-led team of vendors worked to process applications for food stamps, Medicaid and other benefits.

Indiana pulled that contract in late 2009, less than three years into the 10-year deal, following complaints about long wait times, lost documents and improper rejections.

The Indiana Supreme Court ruled in 2016 that IBM breached its contract and directed the trial court to calculate the damages. The justices affirmed an award of nearly $50 million to IBM in state fees, but allowed Indiana to seek more than $172 million in damages from IBM.

Copyright 2018 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed., source Associated Press News

share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news on INTERNATIONAL BUSINESS MAC
09:37aVIDEO : Design, develop and deploy with IBM Cloud Private
AQ
04/18NDEMO : How blockchain can grow small business
AQ
04/18Energy, transport stocks lift Wall Street, IBM drags
RE
04/18Textron and CSX rise while IBM and Lam Research skid
AQ
04/18INTERNATIONAL BUSINESS MACHINES : House Judiciary Subcommittee Issues Testimony ..
AQ
04/18MOBILE LEARNING SOFTWARE MARKET BY A : Global Mobile Learning Software Market 20..
AQ
04/18AS PER TOP RESEARCH FIRM, RETAIL CLO : The increasing demand for IoT in the reta..
AQ
04/18THE WORLD'S LEADING INFORMATION SECU : Know in Depth about the Information Secur..
AQ
04/18INFORMATIVE REPORT ON INDUSTRIAL CYB : Global Industrial Cyber Security Market t..
AQ
04/18CORPORATION (OTCMKTS : CCYPQ) Files An 8-K Regulation FD Disclosure
AQ
More news
News from SeekingAlpha
03:30aDIVIDEND CONTENDERS : 27 Increases Expected By The End Of June 
04/18IBM Covered Call 
04/18TECHNOLOGY - TOP 5 GAINERS / LOSERS : 00 pm (04/18/2018) 
04/18IBM : Buy The Weakness 
04/18IBM -7.8% in worst day in years as analysts parse margins 
Financials ($)
Sales 2018 80 446 M
EBIT 2018 14 319 M
Net income 2018 10 726 M
Debt 2018 32 487 M
Yield 2018 4,16%
P/E ratio 2018 12,87
P/E ratio 2019 12,41
EV / Sales 2018 2,11x
EV / Sales 2019 2,07x
Capitalization 137 B
Chart INTERNATIONAL BUSINESS MAC
Duration : Period :
International Business Mac Technical Analysis Chart | IBM | US4592001014 | 4-Traders
Technical analysis trends INTERNATIONAL BUSINESS MAC
Short TermMid-TermLong Term
TrendsBearishNeutralNeutral
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus HOLD
Number of Analysts 26
Average target price 169 $
Spread / Average Target 13%
EPS Revisions
Managers
NameTitle
Virginia M. Rometty Chairman, President & Chief Executive Officer
James J. Kavanaugh Chief Financial Officer & Senior Vice President
John E. Kelly Senior VP-Cognitive Solutions & Research
Martin Jetter SVP-Global Technology Services
Sidney Taurel Independent Director
Sector and Competitors
1st jan.Capitalization (M$)
INTERNATIONAL BUSINESS MACHINES CORPORATION4.88%137 061
ACCENTURE0.75%100 013
TATA CONSULTANCY SERVICES17.17%91 945
VMWARE, INC.9.75%55 448
AUTOMATIC DATA PROCESSING0.60%52 576
COGNIZANT TECHNOLOGY SOLUTIONS15.73%48 632