Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Microcap & Penny Stocks : DCI Telecommunications - DCTC Today -- Ignore unavailable to you. Want to Upgrade?

To: Art Vandelay who wrote (15962)	5/3/1999 12:10:00 PM
From: Motlink	Respond to of 19331

This is from RB. By: Kknightmcc Reply To: 901 by Codeman Monday, 3 May 1999 at 12:00 PM EDT Post # of 903 In regard to the trading suspension, I just sent this out to my readers. Dear Investor to Investor readers: The SEC has temporarily halted DCTC due to the fact that they are doing away with "pooling of interest" accounting. It is my understanding that all companies that have recently acquired other companies through a "pooling of interest" acquisition are being asked to restate their acquisitions through "purchase" accounting. DCTC has been given a deadline to restate earnings and submit to the SEC by May 14, 1999. I spoke with Joe Murphy this morning in regard to the suspension. He said the he had no idea until this morning that this would be taking place. He was given no notice in this regard. DCTC is not the only company which will be affected by this change in SEC regulations. In the case of DCI Telecommunications, Inc., Edge Communications was purchased in April 1998 through a "pooling of interest" purchase. Restating the purchase will have the effect of lowering the earnings for Fiscal 1997 and drastically increasing the earnings for Fiscal 1998. This is not necessarily a bad thing. DCI will be putting out a press release on the suspension as soon as all of the pieces have been gathered and put into a cohesive form. Joe said that they are working hard to restate the earnings and that everything should be okay when the restated earnings are submitted to the SEC. I see no reason to panic over this, and neither does Joe Murphy. He will update us all as soon as possible. It is simply an accounting problem.