Random Thoughts on Life

An unhappy ending - BUT WHY?

So there was an article in Saturday's UnionTribune about then end of AMS. In it is the now rote line about how in 2003, "it was revealed that several of AMS' advertising executives were sharply overchaging publishers" and later, "As a result, the company has not produced a quarterly or annual financial staement in three years," blah blah blah. Maybe I'm seeing a conspiracy where none exists (I do belive Lee Harvy Oswald did it alone, and I will NEVER EVER watch another Oliver Stone movie) but I can not believe that one vice president and 2 mid level execuitves (along with one accountant who turned everyone else in) can crash a company with 1 Billion in sales. A short re-cap, the company declared bankruptcy because their secured line of credit was called. It was called because they did not produce audited financial reports. However they put press releases in November '05 and March '06 with financial results they expected to be audited. If they had simply gotten one year's audited results out by July 31st (when their last loan extension ended) I am sure Wells Fargo would have extended it at whatever interest rate they were charging. In the November release they stated the restated and delayed 10K and 10Q's were comming. So what happened? If you know and want to spill the beans, email me at popmansplace at google.com or contact Dean Calbreath at uniontrib.com. (Put a dot between his first and last name.)

posted by MrPopman @ 3:33 PM