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Technology Stocks : Network Associates (NET) -- Ignore unavailable to you. Want to Upgrade?


To: Richard Haugland who wrote (3936)1/6/1999 11:28:00 AM
From: Chuzzlewit  Read Replies (2) | Respond to of 6021
 
Richard, this has nothing to do with taxes. It relates to how companies report earnings to shareholders. The thrust is to decrease write-offs for "in process R&D" when they consummate mergers. As a result of the clamp-down, some companies won't take the one-time charges and the company's future earnings will be lowered. IMO this is a good thing for investors because it prevents a lot of smoke and mirror accounting.

TTFN,
CTC