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Technology Stocks : Viador (VIAD) - Enterprise Portal
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To: Walter Morton who wrote (219)9/21/2000 2:20:14 PM
From: Carl R.  Read Replies (1) of 294
 
No, I'm not the only person. That was the primary reason cited by the brokerage that downgraded them after the last earnings report, which was how I became aware of it. You may recall that after the March report I questioned why R&D expenses had fallen so much, and couldn't figure it out. I realize now that the reason R&D expense fell was that they started capitalizing it.

I do understand that there are circumstances where R&D can be capitalized. I don't know for sure what they are, though. I also don't know of any other software companies that are capitalizing R&D, so it makes me wonder why VIAD is.

Carl
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