Yahoo revealed that it suffered a 19% fall in quarterly profits due to the American credit crunch which is affecting online advertising revenue. The news heaps even further pressure on the company's already under fire management.
The internet and computer software company also said that they spent £11m on legal fees and consultation fees during negotiations with Microsoft over the failed takeover bid. While Yahoo CEO, Jerry Yang, claimed that the takeover bid hadn't affected the running of the company its profits fell $30m in the last quarter.
The data was released just 24 hours after Yahoo's senior management had brokered a peace treaty with billionaire investor Carl Icahn. So public infighting between Icahn and Yahoo's management should be a thing of the past, but senior management at the firm will now be under even more pressure to get profits back into the black.