Maybe we should let china have unocal
- Thread starter peilthetraveler
- Start date
Quote from peilthetraveler:
So im looking at UCL's books...Im no accountant but something looks fishy I noticed that they somehow cut selling/general/administrative costs by over 80% in one year. Previous 2 years the costs were over 1.5 billion each and then all of a sudden costs are 260 million. Im thinking there pulling an "enron" going to cash out to the chinese right before the company goes broke and they are going to save the stockholders. If you assume the admin costs were the same as the previous years then unocal would actually be looking at a 600 million dollar loss for 2003 instead of a 600 million dollar profit. Ask anyone how to cut 80% out of there admin costs WITHOUT losing revenue and the only answer i would be able to come up with is some kind of accounting trickery. But like i said...Im no accountant and im sure somebody has a really good excuse as to how costs could be cut so dramatically. We live on the bigger fool theory China is pretty big.
Maybe UCL did the Enron thing. They had the employees run around to different floors when Analysts were doing the tour of the offices and giving the impression that there were 4 times more workers than what was really there. Analysts probably didn't realize that they were seeing the same guys on the different levels pretending to work on computers that didn't work. LMAO Something dramatic as an 80% cut in admin expense's too hard to swallow.:eek: Time for investors to sell.