Lenovo Group Ltd leader Yang Yuanqing says the Chinese technology giant will draw on cost-cutting lessons learned when it bought IBM Corp's ThinkPad laptop unit to turn losses into profit at businesses acquired for $5.2 billion last month.Reporting third-quarter profit jumped 29 percent, Lenovo's chief executive warned the drive to turn around the Motorola handset business it bought from Google Inc and the computer server unit it bought from IBM will squeeze earnings in the short term.For Yang, the pain may only last "a couple of quarters" after the deals close, he said, and is worth it: though October-December personal computer sales were strong, the aggressive acquisitions are a key plank in Lenovo's search for future sources of growth as the broader desktop PC market shrinks and computer users go mobile."In the short term (the deals) will have a negative impact on performance," Yang said in a telephone interview after the earnings were announced. Lenovo, the world's biggest maker of PCs, later specified it will likely take three to five quarters to turn around the Motorola phone business.
Google Inc. (Google) is a global technology company. Shares of GOOG fell by 0.29% or $-3.4901/share to $1186.69. In the past year, the shares have traded as low as $761.26 and as high as $1191.87. On average, 2014080 shares of GOOG exchange hands on a given day and today's volume is recorded at 1725766.
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