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Technology Stocks : Network Associates (NET) -- Ignore unavailable to you. Want to Upgrade?

To: Raymond Clutts who wrote (5593)	7/28/1999 1:11:00 PM
From: Chuzzlewit	Read Replies (1) \| Respond to of 6021

So how come deferred revenue plunged during Q2 (and the decrease exceeded revenues!). Taking into account the $32 MM write-off I see Q2 sell-through at about $90MM ($25 MM revenues + $65MM decrease in A/R). I find it very difficult to believe anything out of this company -- or out of The Street.com for that matter. Greenberg has made a career out of bashing the company because of the SEC accounting imbroglio. But he missed two points. First, the accounting change did not materially harm the company. It is simply an issue of whether you expense a portion of the purchase price of a company or capitalize it. There is no affect on cash flow. Second, he did not deal with the loss of market share or the improper (IMO) booking of revenues. The real problem was the gutting of the R&D staff, of which Alien repeatedly warned us. TTFN, CTC TTFN, CTC