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To: BWAC who wrote (9504)	1/31/2002 2:59:52 PM
From: Yogizuna	Read Replies (1) \| Respond to of 17683

There is value in it's presentation, if it isn't misused and misrepresented. That is certainly worth repeating. But the average investor is only confused by all of this pro forma stuff, so i the long run it would be better for the majority if it was eliminated or at least de-emphasized.

To: BWAC who wrote (9504)	1/31/2002 9:55:21 PM
From: Lizzie Tudor	Read Replies (1) \| Respond to of 17683

There is value in its presentation, if it isn't misused and misrepresented. Thanks for your post, I agree wholeheartedly. I work with mostly GAAP in the startup companies I work with... theres plenty of room for "creative accounting" with GAAP - and there are a few companies who have reported higher GAAP numbers than pro-forma this quarter (SGI for one). L

To: BWAC who wrote (9504)	2/5/2002 2:32:07 PM
From: sea_biscuit	Respond to of 17683

Proforma is NOT a substitute for GAAP, It should not be looked as that, It is additonal information. That is all. There is value in its presentation, if it isn't misused and misrepresented. "If" it isn't misused and misrepresented. That's a big IF indeed. There is no doubt that companies, analysts and financial publications are misusing and misrepresenting them. Why is there such a yawning gap between GAAP and pro forma earnings for an index like the Nasdaq 100? And why is the gap widening more and more over the years? Pro forma has come to mean fudged earnings. And with every quarter, companies are fudging more and more, in order to make the numbers. Eventually the fudging becomes so "heroic" that it can be clearly seen as fraud. And it has already happened with ENE and TYC. Surely they are not the only ones around. Enron is just the tip of the iceberg.