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...need $5.8 billion to cover debts and contingent liabilities this year. Though Vivendi reported revenues of $56 billion last year, it also recorded the largest corporate loss in French history--about $12 billion--caused mainly by writing down the value of assets. Vivendi's stock fell 85% from its peak before Messier was booted. Fourtou "is going to have to turn Vivendi into a smaller and, above all, clearer company," says Marc Touati, chief economist for Natexis-Banques Populaires in Paris. "That will involve straightening out the books so investors can see exactly where things stand." It might also mean...

Author: /time Magazine | Title: French Fiasco | 7/15/2002 | See Source »

...have seen these bumps before and are confident the market will come back eventually. But that has a way of taking years, even without a crisis of ethical confidence. Stocks didn't return to their 1929 levels until 1940; they took 30 years, till 1996, to return to the peak reached in 1966. Many stocks still aren't cheap, third quarters are often painful, and the bears, at least, think there's more bad news to come...

Author: /time Magazine | Title: Summer of Mistrust | 7/14/2002 | See Source »

...movie star. "Nobody saw this coming," Grubman said, denying that his downgrade of WorldCom's stock to "underperform" the day before the firm restated earnings had anything to do with fraud rumors. Grubman, in fact, maintained a "buy" rating on the stock while it plummeted 90% from its peak in June...

Author: /time Magazine | Title: WorldCon | 7/8/2002 | See Source »

Lewis and Clark were under no illusions about being the first to discover the Rockies. Everywhere they went they found traces of Indian tribes. We leave Saddle Camp shortly after dawn, while the snow is still firm, and walk 4 miles up to the Smoking Place, a peak with a 360[degree] view that was sacred to the Indians and was graced then--as now--with stone cairns. The Nez Perce who guided the expedition's return in June 1806 insisted they stop at the peak and smoke a pipe. Lewis was enraptured: "From this place we had an extencive...

Author: /time Magazine | Title: Why the Lolo Is Legend | 7/8/2002 | See Source »

...culprits of Enron and Tyco, WorldCom and Wall Street are now being described as the largest gang of upper-income banditti since the Ponzi, Insull, bank and bucket shop defendants of the early thirties. The recent peak-to-trough decline of nearly 75% in the tech-heavy Nasdaq also happens to represent the steepest decline in a major stock market index since the Dow Jones Industrial Average fell more than 80% between...

Author: /time Magazine | Title: Absolute Wealth Corrupts Absolutely | 7/2/2002 | See Source »

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