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Technology Stocks : THQ,Inc. (THQI) -- Ignore unavailable to you. Want to Upgrade?

To: MikeD who wrote (13607)	3/6/2000 6:15:00 PM
From: Emmo	Read Replies (1) \| Respond to of 14266

We are not alone in pointing out who Herb is working for: HQ's Q4 Results - Vindication against the shorts? Or simply solid management? mmWire via NewsEdge Corporation : The Street.com's January 27, 2000 scathing article on THQ [THQI] was way off track. Not only did the column contain numerous inaccuracies but the writer appears to not have a sound grasp of industry fundamentals. Some of the more blatant misleading (if not wrong) points include: (1) Declaring that the capitalization of software costs is a "trick some companies use to make earnings growth look better than it really is" - Way wrong: THQ is simply following GAAP. EA chooses not to follow this particular accounting principal due to its size and the immaterial impact on earnings; (2) Stating that THQ return reserves fell in Q3 - Wrong again. Reserves rose from 22 percent on December 31, 1998 to 35 percent as of September 30, 1999; (3) Implying that every other game company besides THQ would report lower earnings and revenues during the winter holiday quarter - excuse us, but didn't Electronic Arts [ERTS], Activision [ATVI], Midway Games [MWY], 3DO [THDO] and Take-Two Interactive [TTWO] all report increased earnings and revenues for this quarter? Our suggestion? Do more homework! Oh -- and buy a better calculator. From our perspective, THQ is clearly heading in the right direction. Please note: CCTG and its principals are not current shareholders of THQ and THQ is currently not a client of the firm. <<mmWire -- 03-03-00>>