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Ebay and Paypal splitting apart?
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<p>[QUOTE="Burton Strauss III, post: 2142679, member: 59677"]Nobody knows. TYPICALLY in corporate divestiture or splits there are contractual relationships maintained between the companies. These often take two forms...</p><p><br /></p><p>1. Providing services across companies. Prior to the split yYou have combined corporate facilities. You decide that part X has 40% of the space and you move all their people into 40% of the space, while part Y has the other 60%. But until you can build walls and create separate entrances, there's a sharing agreement for the real estate. At it's simplest, who pays which part of the cleaning service costs? You often find companies sharing finance operations, etc.</p><p><br /></p><p>2. Preferred vendor arrangements. The split off services company agrees to buy it's widgets from the former parent company for some # of years.[/QUOTE]</p><p><br /></p>
[QUOTE="Burton Strauss III, post: 2142679, member: 59677"]Nobody knows. TYPICALLY in corporate divestiture or splits there are contractual relationships maintained between the companies. These often take two forms... 1. Providing services across companies. Prior to the split yYou have combined corporate facilities. You decide that part X has 40% of the space and you move all their people into 40% of the space, while part Y has the other 60%. But until you can build walls and create separate entrances, there's a sharing agreement for the real estate. At it's simplest, who pays which part of the cleaning service costs? You often find companies sharing finance operations, etc. 2. Preferred vendor arrangements. The split off services company agrees to buy it's widgets from the former parent company for some # of years.[/QUOTE]
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