From: Bill Gregorak [mailto:[email protected]] Sent: 16 August 2002 17:25 To: info Subject: Please forward to Ron Unz
Dear Mr. Unz.
I read your letter to the WSJ yesterday regarding the issue of expensing stock options. I’ve attached a paper written by TJ Rodgers of Cypress Semiconductors. Hopefully this will help you to see the light.
In the meantime, don’t expect much business from the high tech industry. Historically it has not been helpful to bite the hand that feeds you.
August 16, 2002
TO: Bill Gregorek, Financial Controller Xilinx Corporation
Dear Mr. Gregorak,
Thank you for your enlightening and thoughtful response to my WSJ letter regarding options accounting issues, especially the enlightening and thoughtful corporate business threats you so generously included.
As it so happens, my company, in which I no longer exercise a day-to-day management role, derives approximately 0% of its revenues from high tech companies such as yours. Obviously, I agree that this portion of our revenues may fall considerably because of my willingness to exercise my free speech rights.
But even if most of our revenue had previously come from companies such as yours and I had kept silent, I would have had to assume future shortfalls in such business. I note that your own stock has fallen by about 80% from its Bubble peak.
Also, if as Xilinx corporate controller you yourself have engaged in some of the accounting practices you appear to be defending, there is some chance you might have other, more pressing personal needs for such cash in the future. I would note that the attorneys retained by the senior financial executives of Enron, Worldcom, and Tyco when these individuals were hauled off in orange jumpsuits for accounting fraud don’t come cheap.
Ron Unz, Chairman Wall Street Analytics, Inc.