Thursday, October 23, 2008

Elan Verbage Challenged

Elan (ELN) released quarterly results and immediately went into a wordy explanation of where they stood with what drug. They had a very confusing or very self serving sentence completing the first paragraph.

“Tangible progress will assist in addressing the perceptions of risk and allow volatility of our equity to reduce over time.”

Most companies find that if they execute on their business model they will create shareholder wealth. You do not really have to make obtuse comments in your press release to support the concept. The concern is that the wording of the press release was not well thought out. What does this say about the quality of leadership?