Qwest Says Used Improper Accounting

Yahoo ^ | Sun Jul 28, 9:30 PM ET

[jumpstartme]

Qwest recently got a green light to enter the long distance market. Although, anyone looking to make revenue in that market must be on drugs.

Qwest will come out looking okay, but I think they'll need to sell off some assets and learn to play customer service before many customers will give them the light of day. Qwest's downfall was purchasing US West (US Worst), who for years decided it was cheaper to pay FCC and PUC fines than to provide service to outlying areas.

But, one thing their analysis failed miserably on was the tremendously horrible negative PR such a move would give them. There are many customers in their coverage area that view them as a vendor of last resort. Qwest bought into this...

[Vets_Husband_and_Wife]

Personally, I think such a massive fraud and debt load (reportedly being carried by Citigroup, JP Morgan, and a few others) will have a very negative impact on the markets and the banking sector. I don't think we've seen the bottom yet and November may be too soon.

Thanks for a very informative post. This is why we are waiting until at least November. The banking factor, and the reporting on August 14, are going to be our guide. I wonder why we aren't hearing more in the media about Citigroup, JP Morgan, etc?

I hope this will wake up America to what happens when you have NO LEADER for 8 years. I hope it will wake up America to what happens when a market is based on fraud and GREED, rather than solid tangible growth.

It it "ain't" real.. is just isn't.

I believe it was last night, that I saw Warren Buffet speaking. He said something to the effect that it could be a slow 17 year growth period,..like before. I believe he said (though it could have been another commentator) that people got rich off NOTHING. Companies that had NO tangible product. Amazing.. foolish, and amazing.

"IF" the housekeeping is done, once the dust settles, the stock market will be a steady investment. But we must also remember it is ALWAYS laced with "risk". Sadly, to many people put all their eggs into one basket.

[jumpstartme]

Agreed and I'm certainly willing to take a "normal" risk burden with an honest investment. But, getting to the honest is what we're all about now.

I'm not sure that Buffet's timetable is right and his forecast is awfully bearish. But, even if he is, it will be about picking good companies/sectors to invest in, which is where it should've always been.

He's certainly right in his characterization about investing in nothing or thin air these past 10 years or so. Dot com bust rendered dot com dust.

[SauronOfMordor]

(asking seriously with mischievous smile on face ) If now is the time to buy, buy, buy and the professionals are saying hold, hold, hold for the long run, then who is going to sell, sell, sell in order for someone to buy, buy, buy?

Why, all those Fortune 500 execs cashing in their stock options. With the exec earnings cap set at $1M, the only way for execs to make the big bucks is to pump up their stock, cash in their options, and immediately sell (to avoid taking a bath on Alternative Minimum Tax).

[jumpstartme]

Well, as a shareholder I'm sure your bias and pride for Qwest are doing fine in wake of this fraud.

As far as long distance, there isn't ALOT of revenue to be had in that whore's market heavy in gov. regulations and low price whores like IDT. Of course, the B2B sector is where they'll make some money- not residential.

Yes, they'll make some money, but Qwest had better come out with many more products and profit ventures than that if they want to dig out of their self made hole. My point is, if they're banking on long distance profits, they'll be sorely dissapointed. But, don't take my word, ask Sprint, MCI or AT&T.

[jumpstartme]

They could sell it for a penny a minute and still make money.

ps- your knowledge of actual costs and cost accounting is apparently lacking. The lines laid is but one cost associated with this or any other of their products. Every call, every bill, every customer interaction has other associated costs. But, I'm certain that Qwest is more aware of this fact than you seem to be. Therefore, the chances of Qwest selling time for 1 cent/minute actually are nil.

[Lunatic Fringe]

BTW, don't you think "rooting" for old folks to lose their 401Ks is a bit harsh.

That's Democratic hyperbole if I ever heard it. LOL.

I'm certainly not rooting for anyone to lose- you dont lose until you sell. I'm just looking for the bottom.

Incidentally, i was wrong- DOW up 312 at this hour.

[wardaddy]

Democratic hyperbole?...hmmmm....i just thought of it as optimism. I would prefer to see more long holders make money in the market than shorters. I think that suits the nation as a whole better don't you think?

I'll have to add that to my list of humourous invectives tossed my way. Thanks....let's see Democratic Hyperbolist would go between D!ckhead and Dumbass.

[jumpstartme]

Pardon my butt in...but, I believe that anyone who composed the "I believe" stuff that you did on your profile page is incapable of democrat hyperbole.

Then again, I don't consider myself a part of the "Lunatic Fringe". ;o)

[wardaddy]

Well thank you! I have been trying to extricate myself from a thread in which I've been called a neoconfederate (I am hardly that yet I am Southern though)...a thread which I truly would prefer not to be participating in and then on another thread I'm engaing in DNC hyperbole. Boy Howdy, the wonders of Free republic never cease.

I am happy to view your more genial comments and I'm happy the market seems optimistic...for now. Pullbacks are certain. When? I wish I knew. I saw serious pullback from 96-00 and it always suprised me with the resilience. This time I'm afraid to guess but I'm cautiously long and yes we have been buying. Buying the bargains, not the stalwarts.

The after lunch momentum is awesome. Optimistic daytraders are scoring big today. Most went long I assume since the indices futures were up sharply before the open. Looks like the NASD is getting some heavy tech buying. I can't believe the DOW is back so close to 9K. I sure hope when the pullback happens, we don't get an opposite stampede.

Trading with the herd is not for the weak of heart is it?

[kaktuskid]

More likely gobbled up by SBC, Bell South, or Verizon...they were a crappy phone company before Qworst bought them.

[INSENSITIVE GUY]

I'D sure like to see E-BAY get nailed.

[Lunatic Fringe]

I believe that the market is composed of both long and short holders, and that they are both good for the markets.

Despite the media claims, people are making money in this market, and I bet a lot of them are older investors with their retirement.

=) BTW, wardaddy- beautiful family. =)

[Lunatic Fringe]

Looks like a steady rall today, and not a splurge that just held on. Not sure if we've hit bottom yet or not. Could just be a bubble.

[wardaddy]

Thank you ....great song by the way. I used to consider it my life's "theme song".....when I was a young adventurer and had not taste yet of mortality.

[wardaddy]

I agree with your sentiment's on your page as well except I'm not sure about Tom. But like you, I wouldn't care either....it was his business.

[wardaddy]

#57 was to you...my bad. I just weed eated. suffering O2 depravation. It's hot and sticky.

[mlocher]

today, tomorrow, august 14. if you are an investor in for the longer term, it doesn't much matter. i still like
your analysis.

[mlocher]

ok. so let's make real estate a key component in our portfolio for diversification sake. and we all know the three things to look for in real estate: location, location, location!!!

to answer your question, we have (day) traders who will do whatever it takes to make a quick buck and they are game to sell sell sell so long as they can win. (they also sell so they don't lose...)