The goal of the 2002 Sarbanes-Oxley Act was to make corporate accounting more transparent. In practice, a new Cato Institute study finds, the law's requirements have had the opposite effect.
Sarbanes-Oxley sought to achieve its aims by having the Financial Accounting Standards Board (FASB) mandate that corporations use Generally Accepted Accounting Principles (GAAP) in reporting their balance sheets to shareholders. In the Cato Institute Briefing Paper "FASB: Making Financial Statements Mysterious," T.J. Rodgers explains why the GAAP rules complicate financial statements to the point where even CEOs have trouble reading them. Rodgers, a founder, president, CEO and director of Cypress Semiconductor Corporation who sits on the board of several high-technology companies, uses his personal experience to illustrate how these rules obfuscate financial reports.
Rodgers writes: "The first step in the wrong direction came when FASB mandated that companies list 'intangibles' such as 'goodwill' as corporate assets, artificially inflating balance sheets. After that, FASB meddled with the revenue recognition rules, in some cases not allowing companies to report revenue from cash payments received from a customer for a delivered product. Finally, and worst by far, FASB mandated punitive and nonsensical rules for so-called expensing of stock options."
These rules, which are enforced by the Securities and Exchange Commission with the threat of criminal prosecution, have begun to take a serious toll on American businesses and markets. "The increased regulation burden makes it less attractive for venture capitalists to fund small startup companies - an economic disaster for Silicon Valley, the most prolific producer of America's technology successes," explains Rodgers.
Rodgers concludes: "FASB is a group of seven theoretical accountants based in Norwalk, Connecticut. Its website shows that no FASB member ever started or ran a successful business and that only one member has even held a senior position in a prominent public company other than an accounting firm. ... It deeply angers me that government lawyers and naive theoretical accountants have been allowed to impair the economic miracle that democratized the silicon chip, the personal computer, and the Internet."
Tuesday, 19 August 2008
Friday, 15 August 2008
CIC Alliance with CSC
Communication Intelligence, a vendor of electronic signature solutions and biometric signature verification, today announced that it has formed an alliance with CSC (NYSE:CSC) , a leading information technology services company. Under the agreement, CSC will incorporate CIC's SignatureOne(R) Ceremony(R) Server software into selected CSC banking systems sold as licensed software and hosted as software-as-a-service (SaaS) offerings.
Under the terms of this agreement, CIC will provide CSC with its SignatureOne Ceremony Server solution. CSC will incorporate and package CIC's secure signatures into several enterprise applications and offer this service directly to its clients, expanding CSC's broad portfolio of financial services solutions. This solution will enable the rapid deployment of fully paperless transactions and provide CSC's clients significant return on their investments based on further compression of current business cycles, increased customer satisfaction, as well as major reductions in shipping, data entry and rework due to errors/omissions associated with paper-based transactions.
Increases in default and foreclosure rates, especially in the subprime sector, have prompted a new urgency to control risk and default management and opened up opportunities for new technological solutions. CSC has several offerings, including its EarlyResolution default management application, that provide lenders the tools to address potentially problematic mortgage loans. CSC's first eSignature implementation, which is for a top ten U.S. bank, is part of an end-to-end solution enabling the approval of documents required to complete one of a wide range of reinstatement and workout options for troubled loans. With eSignature, the servicer will be able to process loan modifications more efficiently and effectively. Workout processing and closing will be substantially expedited with this paperless process.
"Our banking industry clients are increasingly seeking electronic signature solutions," said Jeffery Schwalk, Vice President and Managing Director of the Banking Division within CSC's Financial Services Sector. "With this alliance, we've combined the experience of two market leaders to offer a more cost-effective, secure and efficient process for signing new loan applications, dopening new accounts and fulfilling service requests."
"Teaming with CSC represents the next step in our continuous efforts to truly deliver end-to-end solutions and services to meet the complex and broad needs of financial services organizations," stated Guido DiGregorio, CIC's Chairman & CEO. "We are now able to offer the industry a complete hosted or licensed solution and an automated process that results in greatly expedited response times. We look forward to working with CSC and to extending our electronic signature technology to enhance CSC's other financial services platforms."
The SignatureOne Ceremony Server is a J2EE server product that provides the capability to define and manage an electronic signature process within a Service Oriented Architecture (SOA) to be implemented in an On-Premise Deployed Model or through a SaaS environment. This product enables the use of web services to pass documents and/or packages of documents and related XML metadata to a server that facilitates end-to-end management of multi-party approvals of PDF documents.
Under the terms of this agreement, CIC will provide CSC with its SignatureOne Ceremony Server solution. CSC will incorporate and package CIC's secure signatures into several enterprise applications and offer this service directly to its clients, expanding CSC's broad portfolio of financial services solutions. This solution will enable the rapid deployment of fully paperless transactions and provide CSC's clients significant return on their investments based on further compression of current business cycles, increased customer satisfaction, as well as major reductions in shipping, data entry and rework due to errors/omissions associated with paper-based transactions.
Increases in default and foreclosure rates, especially in the subprime sector, have prompted a new urgency to control risk and default management and opened up opportunities for new technological solutions. CSC has several offerings, including its EarlyResolution default management application, that provide lenders the tools to address potentially problematic mortgage loans. CSC's first eSignature implementation, which is for a top ten U.S. bank, is part of an end-to-end solution enabling the approval of documents required to complete one of a wide range of reinstatement and workout options for troubled loans. With eSignature, the servicer will be able to process loan modifications more efficiently and effectively. Workout processing and closing will be substantially expedited with this paperless process.
"Our banking industry clients are increasingly seeking electronic signature solutions," said Jeffery Schwalk, Vice President and Managing Director of the Banking Division within CSC's Financial Services Sector. "With this alliance, we've combined the experience of two market leaders to offer a more cost-effective, secure and efficient process for signing new loan applications, dopening new accounts and fulfilling service requests."
"Teaming with CSC represents the next step in our continuous efforts to truly deliver end-to-end solutions and services to meet the complex and broad needs of financial services organizations," stated Guido DiGregorio, CIC's Chairman & CEO. "We are now able to offer the industry a complete hosted or licensed solution and an automated process that results in greatly expedited response times. We look forward to working with CSC and to extending our electronic signature technology to enhance CSC's other financial services platforms."
The SignatureOne Ceremony Server is a J2EE server product that provides the capability to define and manage an electronic signature process within a Service Oriented Architecture (SOA) to be implemented in an On-Premise Deployed Model or through a SaaS environment. This product enables the use of web services to pass documents and/or packages of documents and related XML metadata to a server that facilitates end-to-end management of multi-party approvals of PDF documents.
CSC
CSC is a provides technology-enabled solutions and services through three primary lines of business. These include Business Solutions & Services, Global Outsourcing Services and the North American Public Sector. CSC's advanced capabilities include systems design and integration, information technology and business process outsourcing, applications software development, Web and application hosting, mission support and management consulting. Headquartered in Falls Church, Va., CSC has approximately 90,000 employees and reported revenue of $17.1 billion for the 12 months ended July 4, 2008. For more information, visit the company's Web site at http://www.csc.com/.
Thursday, 14 August 2008
AXS-One Results
AXS-One Inc. (BULLETIN BOARD: AXSO) , a provider of Records Compliance Management (RCM) software, today announced its financial results for the second quarter and six month period ended June 30, 2008.
Total revenues for the second quarter of 2008 were $3.4 million, an increase of $0.9 million or 35% from the second quarter 2007 revenues of $2.5 million. License revenue for the second quarter was $1.1 million, an increase of 109% compared to $0.5 million in the second quarter of 2007. Service revenue for the second quarter was $2.3 million, an increase of $0.3 million or 16% from the second quarter of 2007. Total operating expenses for the second quarter were $5.5 million, a decrease of 10% percent compared to $6.1 million in the second quarter of 2007. The operating loss for the second quarter of 2008 was $2.1 million, a $1.4 million or 41% improvement from the second quarter 2007 operating loss of $3.6 million. The Company reported a net loss of $2.5 million for the second quarter of 2008, or $(0.07) per diluted share compared to a net loss of $3.7 million in the second quarter of last year, or $(0.10) per diluted share.
Total revenues for the second quarter of 2008 were $3.4 million, an increase of $0.9 million or 35% from the second quarter 2007 revenues of $2.5 million. License revenue for the second quarter was $1.1 million, an increase of 109% compared to $0.5 million in the second quarter of 2007. Service revenue for the second quarter was $2.3 million, an increase of $0.3 million or 16% from the second quarter of 2007. Total operating expenses for the second quarter were $5.5 million, a decrease of 10% percent compared to $6.1 million in the second quarter of 2007. The operating loss for the second quarter of 2008 was $2.1 million, a $1.4 million or 41% improvement from the second quarter 2007 operating loss of $3.6 million. The Company reported a net loss of $2.5 million for the second quarter of 2008, or $(0.07) per diluted share compared to a net loss of $3.7 million in the second quarter of last year, or $(0.10) per diluted share.
Wednesday, 16 July 2008
Communication Intelligence Corporation
Communication Intelligence Corporation ("CIC") is a supplier of electronic signature solutions for business process automation in the Financial Industry and the recognized leader in biometric signature verification. CIC's products enable companies to achieve truly paperless work flow in their eBusiness processes by enabling them with "The Power to Sign Online(R)" with multiple signature technologies across virtually all applications in SaaS and fully deployed delivery models.
Industry leaders such as AIG, Charles Schwab, Prudential, Nationwide (UK), Snap-on Credit and Wells Fargo chose CIC's products to meet their needs. CIC has deployments with over 400 channel partners and enterprises worldwide representing tens of thousand of users, with over 500 million electronic signatures captured, eliminating the need for over a billion pieces of paper. CIC sells directly to enterprises and through system integrators, channel partners and OEMs. CIC is headquartered in Redwood Shores, California and has a joint venture, CICC, in Nanjing, China
Industry leaders such as AIG, Charles Schwab, Prudential, Nationwide (UK), Snap-on Credit and Wells Fargo chose CIC's products to meet their needs. CIC has deployments with over 400 channel partners and enterprises worldwide representing tens of thousand of users, with over 500 million electronic signatures captured, eliminating the need for over a billion pieces of paper. CIC sells directly to enterprises and through system integrators, channel partners and OEMs. CIC is headquartered in Redwood Shores, California and has a joint venture, CICC, in Nanjing, China
Friday, 30 May 2008
SC&H Oracle Certification
SC&H Consulting, a member of SC&H Group, LLC, has earned Oracle Certified Advantage Partner (CAP) status in the Oracle PartnerNetwork. CAP is Oracle PartnerNetwork's highest membership level.
Since Oracle acquired Hyperion Solutions in March 2007, SC&H has been one of a select few of former Hyperion consulting partners to achieve the top-tier designation of Oracle CAP. The CAP title is given to those partners that consistently demonstrate superior product knowledge, technical expertise, and commitment to Oracle.
"SC&H Consulting is pleased to be recognized by Oracle as a top partner in the PartnerNetwork," said Thomas E. Stout, Managing Partner of SC&H Group, LLC. Stout added, "This designation is a testament to the expertise and dedication of the members of our Business Performance Management consulting practice. Our relationship with Oracle is one of great respect and we look forward to working closely with them in the coming years."
Since Oracle acquired Hyperion Solutions in March 2007, SC&H has been one of a select few of former Hyperion consulting partners to achieve the top-tier designation of Oracle CAP. The CAP title is given to those partners that consistently demonstrate superior product knowledge, technical expertise, and commitment to Oracle.
"SC&H Consulting is pleased to be recognized by Oracle as a top partner in the PartnerNetwork," said Thomas E. Stout, Managing Partner of SC&H Group, LLC. Stout added, "This designation is a testament to the expertise and dedication of the members of our Business Performance Management consulting practice. Our relationship with Oracle is one of great respect and we look forward to working closely with them in the coming years."
Monday, 26 May 2008
Primevest
PRIMEVEST Financial Services is a self-clearing broker-dealer serving the clients of nearly 600 financial institutions in 50 states and Guam. PRIMEVEST makes it easier for financial institutions to succeed by delivering innovative investment and insurance solutions, comprehensive support and a flexible program structure. One of the broker-dealers of ING, PRIMEVEST is a shareholder of the Chicago Stock Exchange, and a member of the Depository Trust and Clearing Corporation (DTCC), the Securities Investors Protection Corporation (SIPC), and Financial Industry Regulatory Authority (FINRA).
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