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To: MikeM54321 who wrote (6909)	8/18/1999 3:27:00 PM
From: Marconi	Respond to of 9068

Thanks for the digging MikeM. Makes sense. Best regards, m [eom]

To: MikeM54321 who wrote (6909)	8/18/1999 9:58:00 PM
From: Mike Buckley	Read Replies (1) \| Respond to of 9068

MikeM, 2. The $1.497 MM. This one was easy. They took some losses on their investment portfolio. You know better than I why they didn't transfer this over to the income side right away, but I'm sure there is a reason. My understanding is that public companies aren't allowed to let investing activity of that sort show up on their income statements. The reason it's prohibited is that a company could manipulate earnings by timing the closing of securities positions. So instead of seeing the results of it on the income statement you should be able to find it in the cash flow statement. To offer an example of why income statements don't reflect a company's investments, it was recently reported that Dell made more money from its investments in the public stock market than from its core operating business. A lot of companies regularly sell puts (options contracts) of their own underlying stock, including Microsoft and Intel. --Mike Buckley