Investors Happy About RIM Loss

Research In Motion (RIMM), the manufacturer of the Blackberry, announced a loss of $235 million or 45 cents per share for the second quarter compared to a profit of $329 million or 63 cents per share in the second quarter last year. The loss per share excluding one-time expenses was 27 cents per share. While this would seem to be bad news, RIMM shot up 14 percent after the announcement. So why the big jump in the stock price? Analysts had expected a loss of 46 cents per share. As one analyst stated: "It's still bad, but it's a much smaller disaster than expected."