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Strategies & Market Trends : Gorilla and King Portfolio Candidates

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To: Uncle Frank who started this subject5/3/2003 11:11:51 PM
From: Mike Buckley  Read Replies (2) of 54805
 
Folks,

When determining free cash flow from core operations, I believe I fully understand the quantitative impact of incorporating Huey's suggestion that we include other factors found in the document, Consolidated Statements of Shareholders' Equity. In fact, I'm reasonably confident that I could absolutely bore you with a multitude of data about that impact.

There are reasons I don't delve into those details. If you understand that document and the impact of incorporating Huey's suggestion, it is highly unlikely that you will gain anything from any comments I might make. (Just the opposite, you would almost certainly be able to teach me more than a thing or two about it just as I'm confident that Huey could.) On the other hand, if you don't already have a working familiarity with that document, I also believe it's highly unlikely that my comments will be remotely helpful. And if you don't have the curiosity to determine what that document is all about, I don't believe there is anything I could write that would inspire you to find it buried in the 10K and figure it out, especially if Huey's and others' comments about it haven't provided adequate motivation.

Having said that, I still encourage you to determine for yourself if you prefer Huey's method. Please incorporate his method in your financial analysis if that's your preference. In fact, I incorporate the method he uses on a regular basis to get an additional view of a company's financial performance. That's because I believe having multiple views of the companies we examine leads to a more informed opinion.

--Mike Buckley
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