Profitability of the firms before and after merger


Corporations are constantly trying to maximize their profits by increasing or decreasing the size of their operations. They do this via mergers or acquisitions (M&A's), and/or spinoffs, downsizing and outsourcing.

Within the last 10 years, research a corporate merger between two corporations (e.g. Time Warner/AOL, Sprint/Nextel or Sirius/XM radio) that is publicly traded with public stock holders and then addresses the following in a 1 or 2 page APA style response:

Compare the profitability of the firms (including stocks prices) before and after the merger.

What were the anticipated sources of the improved profitability?

Were they realized? Why or why not?

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Finance Basics: Profitability of the firms before and after merger
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