Showing posts with label declining market valuation. Show all posts
Showing posts with label declining market valuation. Show all posts

Sunday, September 9, 2012

Declining Market Valuation #1

Also Look at:  http://consultingcases.wordpress.com/2012/09/11/10/

Fluor Corporation to Eliminate 750 Engineer Positions

Case Type: reduce costs.
Consulting Firm: Booz & Company first round job interview.
Industry Coverage: engineering & construction.
fluor corporation headquarterCase Interview Question #00532: The client Fluor Corporation (NYSE: FLR) is a large publicly owned engineering, procurement, construction, and maintenance (EPC / M) services organization. Based in the Las Colinas area of Irving, Texas, the company employs more than 41,000 international employees and maintains offices in over 25 countries. Fluor is a Fortune 500 and a S&P 500 company.
The company’s main business is to build large refineries and large industrial plants. They are global in nature and operate in four main regions. This company is a recent roll-up of three smaller companies that operate independently. They have $1 billion in revenue for fiscal year 2008. Recently, however, Fluor has seen their market valuation drop sharply. You have been hired to find out the reasons behind Fluor’s declining market valuation. How would you go about it?