One analyst said that Enron's forays outside of its of its core energy trading and marketing business may not have played well with investors.
"The rush into broadband is largely seen as a losing venture as of now and they put a lot of capital into it," Commerzbank analyst Andre Meade said. "I don't think a lot of investors totally signed on from the transition to a gas and power marketer to an all-commodities market-maker.
"That's where it looks like Skilling was taking the firm."
This doesn't bode well for MTP - further negative focus on Broadband...did Gannon & the board take their Q's from Enron? I wonder if the Chiefs & BOD's were all out fishing a couple years ago (or at the Craps tables) and co-conspired??
The Enron matter doesn't bother me. I think he is leaving for personality reasons and perhaps the problems in India or California. He's only been in-charge for a short time so broadband is not his total decision. All those energy company insiders are selling stock like crazy. Just pick one and look at yahoo insider.
The Broadband industry is starting to remind me of the Oil boom in the Williston Basin (Eastern Mont./Western N. Dak.) in the late 70's & early 80's. Many folks wanted in on the action and invested much capital. There was a very well run trucking company that at the zenith of the boom, began buying their large, rig transport & pipe hauling trucks with CASH. This company had a field pipe-yard inventory "warehouse" for many drillers and did lots of services related work...but didn't do any drilling. A former coworker reported to the CFO and we did a contract software job for this company...so I got in on some of the inside scoop. These guys knew the boom wasn't forever and didn't want to be saddled with debt when the slowdown came. They sold the Cpny a few years later to an out-of-state Trucking cpny for many, many $millions - now those guys were smart!
But lots of folks lost their butts big time in various ventures...especially those that invested big when the down trend had begun. Common sense dictates if you are very good in one thing, it's usually prudent to stick with it and keep making it better...'cause if you 'gonna dance, you eventually have to pay the fiddler! Will be interesting to see how/if MTP successfully $weathers this.