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Politics : View from the Center and Left -- Ignore unavailable to you. Want to Upgrade?

To: Dale Baker who wrote (6281)	12/7/2005 11:38:01 AM
From: KLP	Read Replies (1) \| Respond to of 542258

Thanks... Those numbers confirm my thinking....Do you think that all of the big oil companies are about the same? Do you know what the net margin on profits of sales is for Exxon? I wanted to find the difference in high net margin and profit and came upon this article....specifically publishing, but think the principals are the same for most business, whatever it is... Competition in Scholarly Publishing? What Publisher Profits Reveal by Brendan J. Wyly, Johnson Graduate School of Management Library, Cornell University arl.org >>>>>>>Net margin takes interest and taxes out of the profit consideration so that only common and preferred dividend stockholders are considered as beneficiaries. A high net margin may be necessary if the enterprise is high-risk and requires a considerable capital investment. However, a net margin of profits on sales that is higher than the market norm is a substantial indicator of "high" profits and raises questions about whether a competitive market is operating and, if so, why that particular market supports a higher margin than other markets. Both operating and net margins are reported excluding extraordinary financial events that are not expected to recur, such as the one-time costs and benefits of acquisitions, dispositions, legal actions, etc. <<<<<