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To: mtnlady who wrote (33705)	10/24/2000 4:21:05 PM
From: Bruce Brown	Read Replies (2) \| Respond to of 54805

Just to refresh the numbers in returns of Nortel, here's the link to the Fool's coverage from this summer: fool.com And from an October 13th article about Cisco, Nortel and Lucent: fool.com I guess the Nortel numbers are in: siliconinvestor.com Revenues up 42% BB

To: mtnlady who wrote (33705)	10/24/2000 7:08:36 PM
From: Thomas Mercer-Hursh	Respond to of 54805

The issue here is how pooling affects the expense of the purchase. Not the revenue garnered from the company purchased. This is the cruxt of the problem. Pooling allows companies like Cisco to take the acquired companies revenues but only books a fraction of the expense of the purchase. There is a chance I am missing something, but if Cisco issues stock to purchase another company, what is the expense to Cisco? Near as I can tell, they have: * paid out $0; * diluted EPS; and * otherwise just added cash, payables, revenue, etc. from the other company. Wha is the true expense here?