Well, so far nothing to calm my fears re: options.
I'm not satisfied with the inability to explain what happened, and to have been prepared for the issue by having it reviewed long ago. Sonus is reporting late in the season, itself set the date for the release of earnings many weeks ago, and obviously has had plenty of time to get ready for this. These factors do not instill confidence in its managment, which has had accounting problems before.
In a word, it is either a case of pathetic handling of a major matter or there is in fact a rat hiding in the cupboard. I find it hard to believe that SONS could not have prepared better for this earnings release so I tend to favor the hidden rodent explanation.
Still, a lot of very positive things:
1.- Lots of ongoing trials;
2.- Deferred revenue has increased;
3.- Higher operating income.
Best of all, "..major deployments not yet reflected in results."
I just hate to see a company with such terrific prospects screw the pooch with something so stupid as options. Interesting, isnt't it, how greed screws up absolutely everything?
Edit:
More than you ever wanted to know about the issues concerning backdating/bullet-dodging/timing of options.
www1.jonesday.com
If there has to be a review back to the mid-1990s, I can see why it might take a long time, particularly as board activities and other options-granting activity has to be combed over to see if there has been any flim flam. |
