H&R Block Confusion

H&R Block (NYSE:HRB) issues Q4 and year end results. They start the tease with a short blurb on record revenues, how they will increase the dividend and how they will continue with a stock buy back program. They also announce 2007 guidance all before dealing with 2006 realities. The huge drop in profitability is dealt with much later and explained away as previously announced restructuring and settlements. This comes from a company which could not explain interest rates and charges to its own customers and eventually had to pay up. The losses in the mortgage division are substantial. They want and need investors to believe that they have fixed it. In the mean time they need you to believe that tax is OK even if the had a very bad start this season. The reality is that it is all too weak. Management is whistling through the grave yard. It will not take much to blow this one up.