Accentuating the caveat emptor perspective with critical commentary on financial disclosure. I adopt a skeptical persona and look for chinks in the teflon coating of financial disclosure. My job is to identify financial warts. Perhaps a Black Swan. Disclosure: I do not hold positions in stocks mentioned for three trading days before or after blog post.
Thursday, March 23, 2006
Rambus (Nasdaq:RMBS) strange resignation
Rambus (Nasdaq:RMBS) experienced a strange resignation. Dr. Mark Pinto resigned from Rambus Board of directors with less than one-month service. A conflict of interest developed with his senior position at Applied Materials (Nasdaq:AMAT). You would think that corporate governance procedures and common sense should be able to stand up for at least a month. Both companies are at fault. The lesson is when you appoint a director from the industry ensure that he or she will be truly independent. Something happened and the big dog AMAT had to bark Dr Pinto home. How independent could he have been?