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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?


To: GVTucker who wrote (147074)11/7/2001 1:59:52 PM
From: John Hull  Read Replies (3) | Respond to of 186894
 
GV,
well, I'm not sure Intel is going to say its investing activity was related to just being caught up in the bubble. No doubt, Intel Capital became part of the bubble and suffers from its demise, but Intel Capital has been around for over ten years. Intel Capital was doing this investing thing before it was sexy and is continuing now that it is no longer glamorous.

I guess there's an argument that says that since the gains were included in pro forma, the losses should be too. Whatever the methodology, I think the key is to stick to it.

I'm not saying the way Intel does it is necessarily the best or right way to do it, just that it is consistent.

How are your evening accounting tutoring sessions with Dan3 going? :)

regards,
jh



To: GVTucker who wrote (147074)11/7/2001 4:10:27 PM
From: AK2004  Read Replies (1) | Respond to of 186894
 
GVT
re: Given that there really aren't a lot of acquisitions to account for, it makes sense to me that Intel exclude acquisition costs
only if the fund is closed but it is not
re: My main problem with Intel's accounting is that Intel continues to include investment gains
here you caught me completely off guard. I am a risk manager and one of the things I rely on is continuity of accounting rules. It was clear mistake to include gains a while back and I have stated so at the time (and took flame for it). But once you went against common sense and included it any way you have to live with it
Regards
-Albert