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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Knighty Tin who wrote (73071)	1/7/2000 6:05:00 PM
From: gnuman	Read Replies (1) \| Respond to of 132070

MB, Good article in BizWeek, "The Ether Keeping Amazon aloft" <....despite $395 million in losses through Sept., Amazon's stated net worth last year tripled, to $420 million. How could that be? Most of the credit goes to a $580 million series of acquisitions of three small businesses that Amazon closed last spring. Amazon paid mostly stock, issuing 8 million shares. The accounting gets tricky here, but Carlo Pippilo, an accountant with the FASB, told me that in mergers like Amazon's, the value of shares used in payment must be added to the buyer's equity. If the buyer pays cash, the amount is subtracted from equity.> Amazed to see their long term debt is $1.4 billion. <g>

To: Knighty Tin who wrote (73071)	1/7/2000 6:12:00 PM
From: Freedom Fighter	Read Replies (2) \| Respond to of 132070

Mike, What made PG make your list at this particular point in time? The reason I ask is that I think a good case could have been made for overvaluation long before now. Last time I looked sales growth was weak for awhile. I'm trying to get at your thought process or the extremity of the overvaluation that triggers a put scenario. Wayne