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Technology Stocks : America On-Line: will it survive ...?
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To: Richard Lyons who wrote (262)10/9/1996 11:39:00 PM
From: Bharat Bhatia   of 13594
 
I agree with Mark the Trader that AOL's deferred marketing expenses will catch up to them. These guys are spending a lot in marketing and defer it for more than a year. For 96, 360 million dollars of deferred expenses have to be accounted for. Cash flow is the appropriate guage of company like AOL when they misreperesent Accounting figures. Negative cash flow is the first sign of trouble for a company and in time AOL will admit it's problems to everyone.
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