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Technology Stocks : PSFT - Fiscal 1998 - Discussion for the next year -- Ignore unavailable to you. Want to Upgrade?

To: Melissa McAuliffe who wrote (2607)	10/12/1998 1:58:00 PM
From: David W. Ricker	Read Replies (2) \| Respond to of 4509

Excerpt from Reuters on Baan failure "Baan said it had been hit by decreased software expenditure, notably in the United States. It added it expected the trend to continue until economic conditions improved and companies completed their solutions to the millennium problem." Could this be PeopleSoft eating Baan's lunch? What economic conditions new improvement here in the U.S.? Once again, the Y2K scapegoat is mentioned.

To: Melissa McAuliffe who wrote (2607)	10/12/1998 2:00:00 PM
From: Raptor	Respond to of 4509

M & M .. I think BAAN is a write-off. It's been stated here many times that they were in trouble. They are an also-ran in the ERP race. And then there were three ...... Here is CBS's report: cbs.marketwatch.com

To: Melissa McAuliffe who wrote (2607)	10/12/1998 2:08:00 PM
From: Raptor	Read Replies (2) \| Respond to of 4509

M & M .. Anyone know if those 'brilliant' analysts saw fit to downgrade BAAN further. The CBS reports claim BAAN is missing earnings by a lot more than Mr. Sherlund projected. What do these turkeys know? Imagine a company missing projected EPS to the negative what they were expected to get to the positive?

To: Melissa McAuliffe who wrote (2607)	10/12/1998 10:23:00 PM
From: Mad Duck	Read Replies (1) \| Respond to of 4509

What I recall about Baan's accounting problem earlier this year is that it came to light that Baan channeling sales through a company which was majority owned by the Baan brothers and 15% owned by Baan itself. Baan claimed that is was an "independently-owned company" and that their auditors (I think Ernst & Young) found the practice acceptable. The problem was that sales revenues claimed by Baan during particular fiscal periods were sometimes inventory on the other company's books at the end of those periods. The other problem was that those same auditors had begun to assume a major marketing role for Baan products in the U.S., thus creating a significant conflict of interest. If memory serves, the outcry was such that Baan retained new auditors and one of the Baan brothers severed himself from Baan to dedicate himself to running the "independently-owned company". I'm certain the Baan thread has the full story.