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Technology Stocks : How high will Microsoft fly?
MSFT 411.29-2.8%3:59 PM EST

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To: Charles Tutt who wrote (59753)7/12/2001 4:19:55 PM
From: Exacctnt  Read Replies (1) of 74651
 
<<<I do think it is inappropriate to base growth comparisons on figures including investment income, especially if you're unwilling to do it consistently when there are losses. I don't think one should take the stance that "earnings is earnings" when investment income is positive, but try to brush it aside when it's a loss.>>>

I've prepared financial statements for a Fortune 100 company. Those statements and each line item of income/expense do not tell the whole story on how good or bad the results were. That is why any extraordinary event during a quarter is highlighted and discussed in managements' statements. The analysts base their commentary after digesting the significance of those events. If a company did not report the extraordinary items when releasing the information, analysts would be the first to question what the results were minus extraordinary events.

You are focusing your displeasure on the wrong target. The analysts, investors and the market itself determines whether or not extraordinary items matter when evaluating a company.
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