>>Do you feel earnings are going to be bad?
Remember, of material and relevant significance, on November 13, 1997 Richard Rabins, CEO, announced record revenues for Q3 '97 and stated "...'We are making progress in our efforts to achieve profitability. In the first three quarters of 1997, our operating losses have been $4.2 million, $2.1 million and $.9 million, respectively'' said Richard Rabins, CEO, SoftQuad..."
source: biz.yahoo.com
The situation with Lernout Hauspie, announced less than one month later, was known [well] before Rabins issued his upbeat Q3 release [and pursuant/governed by Canadian state, Federal, Ontario, and Toronto Stock Exchange securities regs/statutes, in addition to United States Securities and Exchange Commission Rule 10b-5 regs]. (and as documented by this thread).
Accordingly, these are compelling reasons Richard Rabins/SoftQuad simply cannot issue Q4 numbers suggesting negative revenues/earnings surprises without significant repercussions (to the stock?, management, the Board, SoftQuad), in our opinion. |
