Chief Executive Officer (CEO) of Amazon.com Inc., Jeff Bezos, was unregretful of his 20-year-old company’s lack of profit, admitting on Tuesday through a rare public appearance that he only spends six-hour investor relations each year.
The CEO also disclosed the company’s spiteful dispute with Hachette Book Group, a publishing company, and its Washington Post purchase. Bezos acknowledged that his company had a progression plot already in place, but did not disclose further details.
The CEO’s comments came after the Moody’s Investor Service’s outlook on Amazon has been downgraded to “negative”, saying that the company’s future debt offering and its “lack of visibility” on how the funds will be used.
Investors have been unhappy about Amazon’s lack of revelation about future plans and the company’s spending as well. Company shares dropped to 18% this year, regardless a 14% increase in the NASDAQ.
Bezos defended the company, emphasizing Amazon’s culture of willingness to expand on new projects, although they fail. Through a conference, the CEO also said his company is a large business, but a start-up at the same time.
Also a Business Insider investor, Bezos defended his company’s approach during its protracted contract clash with Hachette, which was brought about by Amazon’s delayed deliveries, while removing pre-order options for different Hachette titles. The argument was resolved in November.
Publishers, on the other hand, are now in better shape due to e-books that are becoming popular after the company launched in 20017 the Kindle e-reader. Bezos added that books are still very expensive.
Last year, Bezos entered another besieged industry after purchasing the Washington Post, saying that Don Graham, previous owner of the Post convinced him. However, Bezos disclosed his plans for converting the Post into both a national and global newspaper.