Choicepoint Spins off 3 Businesses
From their press release:
ALPHARETTA, Ga., July 10 /PRNewswire-FirstCall/ — ChoicePoint (NYSE: CPS – News) today announced its intent to divest various businesses resulting from its company-wide strategic review. The previously disclosed review process resulted in the company adopting a new strategic focus on helping customers manage economic or physical risks, as well as the decision to divest businesses that either do not fit within the new strategic direction or are unlikely to gain critical mass in the marketplace under ChoicePoint’s ownership. This process is ongoing and is expected to continue throughout 2006. Included in the announced divestiture plan are ChoicePoint’s direct marketing, forensic DNA and shareholder services businesses.
I’m glad to discover that amassing a DNA database and selling the contents to the government is something even Choicepoint doesn’t expect will become profitable. I’m also glad that they’re owning up to mistakes. Now lets see if we can see some fair information practices around the rest of their services.
See other analysis in Direct Marketing News or the Boston Globe.