Topic: Risk Factors

— 2640 items —

Just add water (and hot air)…
October 1, 2008—Only in Washington can something grow so quickly. Just 10 days ago, Treasury Secretary Hank Paulson released this $700 billion 3 page plan for saving the economy. A few days later, it had morphed into a 110-page plan. And by Wednesday, it had grown to a 451-page plan, which was passed by the Senate earlier […]

R.I.P Wachovia…
September 30, 2008—Yesterday afternoon, after the $700 billion bailout legislation failed, Hank Paulson came out of the White House and said, “We have experienced significant turmoil in our financial markets in the last few days, including the collapse of Washington Mutual and Wachovia here and the failure of two major financial institutions in Europe.” Of course, Wachovia […]

Wanna be sedated?…
September 24, 2008—Scary events like Lehman’s fall and AIG’s takeover are inspiring what you might call “Prozac disclosures,” intended to soothe anxious investors. For example, on Friday Constellation Energy Partners (CEP) reported to investors that it had no bad news to report. In this press release, it said it had “no hedging or other contractual counterparty exposure” […]

Waxman weighs in…
September 22, 2008—Henry Waxman, chairman of the House Committee on Oversight and Government Reform just issued a statement on his take on the bailout. Here’s a snippet: The Administration’s plan completely eviscerates the concept of moral hazard. It would enrich the Wall Street executives whose reckless investments caused the financial crisis. The taxpayer is being asked to […]

SEC crisis control: increase short disclosure
September 18, 2008—If you needed yet another indicator on just how serious things are right now — beyond the scary story in the WSJ today calling this the worst crisis since the 30s — here’s one: just this week, the SEC has issued three after-hours press releases — one Sunday night, one Monday morning and its latest […]

Overstock’s real estate and naked short risks…
August 6, 2008—In a little less than two weeks, footnoted will celebrate its fifth anniversary and in all of that time writing about odd disclosures at all sorts of companies, I’ve managed to avoid writing about Overstock (OSTK). It was definitely a conscious decision, mostly because so many other people were beating the drum, including my friend […]

Scholastic puts the blame on “Do Not Call Registry”…
July 31, 2008—Of all the creative excuses that companies tend to come up with when earnings disappoint, or when earnings are restated, the one that Scholastic (SCHL) came up with in the 10K it filed yesterday is definitely up there: The decline in profitability of the DTH business was primarily a result of the federal Do Not […]

Apple says economy is “depressed”…
July 24, 2008—While some people continue to debate whether or not we’re actually in a recession, Apple (AAPL) went a step further in the 10Q it filed yesterday, using stark new language to describe the state of the economy in its risk factors section: The Company’s operations and performance depend significantly on worldwide economic conditions and their […]

Discover frets about credit card reforms…
July 11, 2008—A mysterious finance charge popped up on my last credit card statement. Even if I manage to get it waived, there’s little doubt that those evil masterminds at the issuing bank are free to smack me with any absurd charge or penalty they can dream up. In the credit card industry the customer is never […]

Navistar: isn’t it ironic?
June 24, 2008—It’s hard not to look at the 8K that Navistar International (NAVZ) filed late Friday and not want to start humming a few bars of Alanis Morissette’s classic song, Ironic. Maybe it’s just the way my mind works, but there’s something about giving the new chief risk officer — the company announced last week that […]