SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Non-Tech : Cendant Corporation (NYSE:CD)
CD 7.060+2.3%Dec 10 3:59 PM EST
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Axxel who wrote (1219)7/25/1998 9:27:00 AM
From: Benkea  Read Replies (3) of 3627
 
Backuptrk:

CD is not an OXHP! OXHP posted loss after loss due to their problem. They dropped again Friday because their cash burn-rate AND LACK OF PROFITABILITY caused Friday's drop. OXHP has no brands and is forecasted to lose money until the last quarter of FY 99 ended 12/99. In 12/99, (1 1/2 years from now), OXHP is forecasted to make a measely $3.2 million.

CD's accounting problems, while widespread and systematic, will reduce $4.5 Bil shareholder equity by less than $60 million.
From the 7/14/98 press release, (indidentally this portion was released in bold type),

"The total impact of the restatement on Cendant's net income after one-time charges and its shareholders' equity will be relatively immaterial after reversal of these merger charges. 1997 net income after one-time charges could range between from no impact to a reduction of six cents. Cendant's shareholder's equity at
approximately $4.5 billion should be relatively unaffected by the 1997 restatement."

Further, 1998 earnings will be reduced by a max of $50 mil,
"Cendant now expects 1998 earnings per share from continuing operations will be five to six cents lower than previously
expected"

Thus we are expecting $867 mil for 1998. OXHP and will not make even 1% of this amount until MAYBE sometime in the year 2000. Further, the revised First Call estimates are for $1.08 BILLION in 1999, a 22% increase over 1998.

Hope this helps you complete "your research" so you may make a more intelligent decision.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News