Steven,
thank you for your many illuminating posts.
This marking to market seems similar to the false revenue recognition
by software firms which were seem to have thumbing their noses at SEC
standards which differ for software and hardware firms. Aren't there
a whole bunch of lawsuits against software start ups down there in
the Valley for false revenue recognition? I would imagine that in
these cases those with common shares will be left out in the cold;
even those with preferred shares are getting pennies on the dollar,
no? At at a time that profitability is already threatened and capital
is being dissipated in military and police expenditures, it seems
that the US economy can ill afford extraordinary legal expenses. I
know VC firms are sitting on a $100bn or so, but I wouldn't think
they'd like to see it go to covering enormous legal costs of their
start ups. But hell what else are they going to do with it--create
another NASDAQ bubble though led this time by biotech and medical
equipment firms?
rb
