Cosmetic Makeover

[Mulboyne]

Asahi: Kanebo uncovers 5 years of false books
An in-house investigation at Kanebo Ltd. found that former managers window-dressed financial statements for five years through fiscal 2003, the company announced Wednesday. Kanebo officials told reporters that the company had inflated its earnings by a combined 215 billion yen over the five-year period. Kanebo Chaiman Akiyoshi Nakajima told a press conference that the company will seek to hold the former executives legally responsible...more...

[canman]

Or is every company, not only Japanese, lying about their financial situation. Today I was reading about the big Insurance company AIG, and the problems it has. And all the others Enron, Tyco, WorldCom just to name a few. I will leave the final analysis up to Mulboyne, as I defer to him on matters of business, but it seems that since so many people are investing in the stock market these days, and good old George wants to give people the chance to invest their social security money in the stock market, aren't all of these things forcing companies to "window dress" . But its all a sham. I'm a little concerned now about some of the funds I have invested in.
I hope that things will settle down soon, but I don;t think they will as long as the stock market is seen as a way to save and make money, companies are going to do the same think year in year out.

[Mulboyne]

It looks like Kao will finally get what it wants.

Bloomberg: Kao Wins Bid for Kanebo, Japan's Bailout Agency Says
Kao Corp. and three buyout firms won the bid for ownership of Kanebo Ltd. and Kanebo Cosmetics Inc., Japan's corporate bailout agency said today in a statement on its Web site. Kao, Unison Capital Inc., Advantage Partners Inc. and MKS Partners Ltd. won the bid for the companies, the Industrial Revitalization Corp. of Japan said. Kao will purchase an 86 percent stake in Kao's cosmetics unit from the bailout agency, according to the statement. The sale takes effect next month.