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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Skeeter Bug who wrote (61544)	6/6/1999 1:33:00 PM
From: Thomas M.	Read Replies (2) \| Respond to of 132070

Ken Heebner takes potshots at some of the Nifties: LUCENT: "The profits are growing a lot faster than the revenues. It is margin expansion. It can't go on forever. And the fact is, a big portion of the profits is coming from an overvalued pension fund. They are allowed to do it by the accounting rules, but it is not real earnings growth." CISCO: "The company is saying [he can't help but cackle] whatever the new technologies and skills are, we are either going to acquire them or grow them in-house -- and we won't miss a step. I've seen too many companies with that kind of strategy all of a sudden have down earnings." GENERAL ELECTRIC: "It reminds me of a company in the '60s like ITT, run by Harold Geneen. You have a guy at the top who is a highly motivated, intelligent guy. And he is using accounting to help him -- you just don't know how. Wherever you have finance -- GE Capital is the driving force there -- no one knows what's going on inside that. We just know these guys are really smart. And you know he [CEO Jack Welch] is going to retire next year. I wouldn't single out GE as the most risky. But I don't find comfort in any of these stocks." worth.com