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To: Les H who wrote (42084)3/3/2000 12:58:00 AM
From: Dwight E. Karlsen  Respond to of 99985
 
"warning lawmakers it could chill mergers and slow the U.S. economy."

Well gee, didn't those lawmakers just get some strong words from Alan Greenspan, saying that the economy is way too strong recently, and therefore he may have to keep stair-stepping up the interest rates until the economy slows?

Perhaps these lawmakers will connect the dots and pass this legislation, thanks to that "lashing out" by these dot-com execs.



To: Les H who wrote (42084)3/3/2000 1:05:00 AM
From: AlanH  Read Replies (1) | Respond to of 99985
 
Les, re:mergers and FASB

Imagine the delight of Benhamou (and company)...
* Acquire USRobotics, write-down various costs thereby inflating earnings (er, paring losses);
* Spin-off PALM, netting wildly more than original acquisition swap;
* Refocus business units, per following release:
biz.yahoo.com
(Gee, I wonder if the modem business is a keeper?)

Say, didn't FASB ink the loop-hole for hiding labor costs visa-vis "incentive stock options"? What are the odds that FASB will kill the golden merger goose?

Joking aside, thanks for the frequent news posts.
Alan



To: Les H who wrote (42084)3/3/2000 8:39:00 PM
From: pater tenebrarum  Read Replies (3) | Respond to of 99985
 
Les, methinks some executives are getting antsy about the value of their stock options should the pooling trick be disallowed. perhaps the idea that a rigid purchase accounting system doesn't do all mergers justice is partly correct. but the fact remains that the current method is mainly misused to massage earning in order to please Wall Street.
i'm sure the mania apologists will win the day however.

regards,

hb