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Technology Stocks : Compaq

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To: Night Writer who wrote (80355)3/29/2000 1:51:00 AM
From: rudedog  Read Replies (1) of 97611
 
NW - re: doesn't that present some type of accounting problem?

I believe it creates an asset on the books which would get worked down by the actual severance costs. I assume there is some time limit when the charge would have to be reversed but that would only add to CPQ's income at some future date. However, my assumption is that they will actually work down the headcount (and the charge) this year.
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