Last qtr it was the $7.5MM writeoff announced 5 days after the conference call and now another $6.3 writeoff weeks before earnings release. These boys are gamers playing investors for fools. NO INTEGRITY HERE AT ALL
That $7.5 million writeoff concerned an investment into "Company X" whose name was never revealed. They bought 17% of the company, and I believe the company was Summit Semiconductor which makes chips for highend wireless speakers. Camillo said on analysts day that revenues never materialized in this company and the investment was written down to zero.
This also means that WiSA (the wireless speaker and audio association) is a non-starter.
I agree with your assessment of the integrity of Camillo. He is reckless beyond belief and only reveals things when it becomes absolutely necessary. To refresh everyone's minds, the initial guidance after the SiBeam acquisition (april 2011) was that cash-neutral would be reached in mid-2012. However, this guidance was based on the slim hope that SIMG had lined up an important customer (not revealed at the time). This customer never came onboard, and instead of honestly telling investors what happened, Camillo shifted everyone's attention on the bountiful revenues/profits to made by putting WirelessHD chips into smartphones. It was only 6 months later when the 2011 10K came out, some writedowns were revealed and the flimsyness of the initial guidance became apparent.
My personal opinion is that Camillo is one of those gloryhounds who is not content on running the legacy business profitably, but must start his own company within a company for which he can take complete credit. HDMI and MHL became second class citizens once SiBeam was purchased and the CTO of SiBeam was instituted as the CTO for the entire company.
And now we have to question the timing of this announcement right before CES 2013. Are shareholders being gamed? Are shareholders being pushed into selling right before a major positive announcement at CES? Normally, I wouldn't think these thoughts but this company does have dishonest management and anything is possible.