Ron - Parish has been pushing this nonsense for a long time - unfortunately, there ARE NO GAAP accounting rules which cover current use of ESOP - a major loophole IMO, but still, that's the rule today. The few regulations regarding use of retired treasury stock to fulfill ESOP, or the use of Black-Scholes models to predict the value of outstanding options, don't come close to covering the real situation.
In any event, virtually every high tech company, from the lowliest internet startup all the way up to DELL, CPQ, Intel and MSFT, use the same techniques. Perhaps there has actually been no tech profit ever, and all of these companies built their market caps on accounting tricks.
Or maybe Parish is full of Crap. I think actually that Parish knows full well that his stuff is nonsense, but it makes good reading for people who don't know much about accounting, and keeps the Parish name floating around. Every few months a weary pilgrim stumbles into the Parish oasis, and the half-baked positions get another round of attention. |
