March 27, 2000  6:00 am Eastern Time

Company Press Release

Germany's Largest Paper With 4.5 Million  Subscribers, Bild, Breaks the Microsoft Financial Pyramid Story In Europe

English Translation:

Title:  Little Bill Against Big Bill
Will He Topple The Richest Man of the World?

By Julian Reichelt

Four colorful squares in front of a spring blue sky - the "Windows" logo.

It has made Microsoft and its founder, Bill Gates (44), world famous.

And unbelievably rich!  The value of Microsoft is over one trillion marks.

But even a beautiful blue sky attracts black clouds.  And the first lightning has struck.

Bill Parish (36), a small analyst from Portland, Oregon accuses the mighty Bill Gates thus:  "Microsoft did not earn 14 billion marks in 1999, as reported, but rather lost 20 billion marks – financial fraud!

The American stock market overseer - the SEC, is already concerned, and will once more carefully audit the financial statements of the software firm.

What's happening?

Microsoft paid many employees not with checks, but with stock options; the employees could later exchange the options (for example $30) for Microsoft stock ($112).  The difference would be taxed as wages.

Advantage for Microsoft: the firm avoids high financing and can deduct the stock "profit" of the employees from taxes.  In 1999 the tax refunds amounted to 6 billion marks.

Bill Parish:  "The Microsoft income statement shows profits that partly don't exist.  If the shareholders were to understand that, and sell, the Microsoft stock could decline by 80%" - a catastrophe for Wall Street, as Microsoft is also one of the 30 stocks of the Dow Jones index.

The German finance expert Bernd Niquet:  "The stock value of firms with such stock option systems is artificially overstated."

The "small" Bill is now as dangerous to the "big" Bill (who with 170 billion marks is the richest man in the world) as a computer virus.

The whole scary analysis is on the Internet at:  www.billparish.com.
 

Special thanks to Neil Dale for this English translation of the original article.  Neil is a retired instructor from Mt. Hood Community College (Gresham, OR) where he taught accounting.  His translation should not be interpreted as an endorsement regarding the article's validity.

An extended study on this pyramid scheme is available at http://www.billparish.com/msftfraudfacts.html.  The upcoming book "Microsoft's Class War On America" will also summarize many yet to be disclosed areas regarding what some may consider the greatest financial fraud this century.

Bill Parish, President of Parish & Company, has been quoted extensively in a variety of major news publications, as well as The Tech Review, a Canadian investment journal, Bild, the largest paper in Germany,  The Fleet Street Letter, a prestigious investment publication and The Independent, a major British newspaper. He has also appeared on ABC news and has been interviewed by KUIK, a Portland area radio station, KIRO in Seattle, Aspen Public Radio, Colorado and various other media stations.

Mr. Parish is a Registered Investment Advisor and former CPA providing fee based investment management services in addition to assisting companies structure their 401k plans to meet their fiduciary obligations and provide top quality well diversified investment choices at the lowest cost. Please consider hiring Bill to be a permanent member of your 401K committee and thereby utilize the services of a top investment professional in order to clearly communicate your commitment to managing your employees’ 401K plan or what I now call their "Mutual Savings Bank."