JDSU wins it:
I hereby award the JDSU accounting dept. with the Gold Medal in Creative Accounting for 2001. It was a stiff competition, lots of contenders, but JDSU pulled ahead of the pack with its latest unearnings report.
From: biz.yahoo.com
"On a pro forma basis, excluding reduction of goodwill and purchased intangibles, merger-related charges, realized and unrealized losses on equity investments, gain on the sale of a subsidiary, purchased intangibles amortization, payroll taxes on stock option exercises, stock compensation charges, and activity related to equity method investments, the Company reported..........net income of $67 million or $0.06 per share for the year ended June 30, 2001."
Wow. It's a profitable company. They made 6 pennies/share last year. All it took was excluding most of the company's costs.
Writing off an amount larger than the sum total of all reported earnings they've ever had as a public company....that put JDSU in the finalist category for the Medal. But backdating that writeoff to a previous quarter.....that shows a certain flair......there are true artists at work at JDSU.
IMO, the best thing that could result from the bursting of the stock bubble, and the impending bursting of the credit and real-estate bubbles, is a total collapse of confidence in accounting methods. Maybe, then, the rules will be re-written, so companies will be forced to report profits, not "pro-forma earnings". |
