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To: patron_anejo_por_favor who wrote (145668)	1/23/2002 4:37:35 PM
From: KeepItSimple	Read Replies (3) \| Respond to of 436258

The entire reason that pro-forma earnings are now reported by every single company (and I do mean 100%) is that Reg FD makes it illegal to leak actual earnings numbers to analysts. The only way to make sure they beat by a penny now is to introduce pro-forma as the earning measurement, which means the companies can just modify their earnings however they wish to make sure they beat by a penny. Nobody has ever commented on this, but it bears repeating: Pro-forma is the market's response to Reg FD. Pro-forma is the market's response to Reg FD. If they can't leak the figures legally, then the ONLY WAY TO RELIABLY BEAT ESTIMATES IS TO MAKE THE NUMBER REPORTED A COMPLETE FICTION. This is the most important change in the public markets since Reg FD was introduced. It is a direct slap in the face of the SEC. Broadcum missed on revs...but beat "earnings" estimate by (surprise!) a penny: cbs.marketwatch.com.