(Subunit mission) In 1995 and 1996, AT&T split up (spun off) its businesses into three independent corporations. One of the businesses is Lucent Technologies. Following are some of the significant items from the company’s first-quarter earnings report for 1996:

For the quarter, the company reported a net loss of $103 million.
[SOURCE: John J. Keller, “Lucent Reports a Narrow Loss, Strong Revenue,” Wall Street Journal (April 25, 1996), p. B12. Reprinted by permission of The Wall Street Journal, © 1996 Dow Jones & Company, Inc. All Rights Reserved Worldwide.]'
Write a brief report describing how you would interpret the above financial information under the following circumstances:

a. Lucent’s strategy is oriented toward growth.

b. Lucent’s strategy is oriented toward harvesting profits from mature businesses.LO2

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1996 RELATIVE TO 1995 Network equipment revenue Domestic sales Microchip revenue R&D spending S, G, & A expenses up 17% up 12% up 26% up 2% up 6.9%