Wow down hard after market SEC involved. http://www.forbes.com/sites/ericsav...ges-fraud-in-autonomy-deal-takes-8-8b-charge/ Looks like Meg is uncovering lots of dirt. Its like HPQ paid 10 billion for ZZZZ best of computing.
Amazing that it took them a year to figure it out. What were all those M&A bankers and lawyers who reaped hundreds of millions in fees doing?
hmmmmm "Chief Executive Leo Apotheker called the British firm âa highly profitable and globally respected software company, with a well-regarded management team and talented, dedicated employees.â
I think some guy here was once crowing about Autonomy being one of the bright lights of UK high tech. Lookie now........
From HP's Statement http://www.hp.com/hpinfo/newsroom/press/2012/121120b.html Although HPâs investigation is ongoing, examples of the accounting improprieties and misrepresentations include: â¢The mischaracterization of revenue from negative-margin, low-end hardware sales with little or no associated software content as âIDOL product,â and the improper inclusion of such revenue as âlicense revenueâ for purposes of the organic and IDOL growth calculations. ◦This negative-margin, low-end hardware is estimated to have comprised 10-15% of Autonomyâs revenue. â¢The use of licensing transactions with value-added resellers to inappropriately accelerate revenue recognition, or worse, create revenue where no end-user customer existed at the time of sale. So in other words Autonomy was pretty much operating just like every other large tech hardware company on the face of the earth.