------ Forwarded Message From: joe mcguckin <joe@via.net> Date: Sat, 06 Jul 2002 21:43:23 -0700 To: Hank Nussbacher <hank@att.net.il> Subject: Re: wcom overbilling On 7/6/02 9:04 PM, "Hank Nussbacher" <hank@att.net.il> wrote:

At 04:50 PM 06-07-02 +0100, Stephen J. Wilcox wrote:

...

.. which is why I think people (especially US altho it seems to be coming more the normal in other markets) use EBITDA as it smooths out the bumps even tho the bumps are still there!

The other nice thing in the telecoms world about EBITDA is the 'D' which seems to work quite well at hiding losses caused by falling fibre/bandwidth prices!

From Barrons: EBITDA = Earnings Before I Tricked the Dumb Auditor

-Hank

...

Steve

Why shouldn't interest expense be taken into account? After all, they (name your favorite carrier) wouldn't have that nice fiber network if it weren't for all the money they borrowed. Paying the interest on the borrowed money should be treated as a normal business expense. Joe ------ End of Forwarded Message