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Microcap & Penny Stocks : DCI Telecommunications - DCTC Today
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To: Grantcw who wrote (15967)5/3/1999 12:35:00 PM
From: Art Vandelay  Read Replies (1) of 19331
 
Grant,

Based on my limited knowledge you are correct.
I believe that in a pooling, the companies are treated as if they've always been together. So, upon completing a pooling acquisition, the financial statements are combined for the companies for every prior year of their existence. Therefore, past revenues would be higher because the acquired companies revenues are tacked on
for prior years.

I have to correct you on your next statement. In a purchase you only count revenues of the combined entity going forward after the transaction takes place.
In a purchase, I don't think you get to restate all past periods. You may get to tack
the revenues on for the year of the acquisition, but not for all past years like a
pooling.
AV
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