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Show BUSINESS ig TheSalt Lake Tribune the Sunday, April 7, 2002 What is This Thing Called The Motiey Fool? Remember Shakespeare Remember ~As You Like it Jn Elizabetnan days, Fools were the only people who could get away with telling the truth to: the King or Quecn. The Motiey Foo! tells the trath about mones, and hopes you'll laxgh al! the way tothe bank The MotleyFool 2 One-Time Charges What are these “one-time charges agains carmmgs™ that | See mn companies’ camungs reports? Rodman E Taber. viz e-mail They wr meant Our Mission: To Educate, Amuse and Enrich Fool.com a teaingut yaoi ao (for example, for closingplants, that rates have nowhere to go but up. F peaete restay aot be removed from the company’s camings (in other words, ther amount 18 added back). ostensibly to Beware of Most experts believe that interest rates will be rising im the near future Soon it will probably cost more to cperating performance eces extra 00eee your income investments. more accurately reflect the firm's Imagine that barrow Charus and you will 2 little diversification, (2) make the investment of small amounts — including reanvestment of dividends — a snap. aoe appreciation. Many bond funds einige more than 20 percent 10 ‘And your bonds will jose value Garls inc. (tucker: KICKS) cams $10 million in @ quarter, but also lays off Blame the inverse rela between bond prices and yields. If many employees, mouring cake >aRpT ey malion isting bonds drop. Why? Well. Jet's say you have a bond that yields 5 ‘Then rates rise, and$25 anew supgestng that its business really Wis andesting Uaigik aee ee ey oe Lae 23 billion for the fiscal third quarter, it was a mixed bag ar scourities, including the Gn showing, while sales in Europe commission-free investments from Uncle Sam. (Another good site is you may be in for a surprise. In 1994 bonds are more volatile, and the extra rate currently at 1.75 percent — the your short-term savings. We offer some consider at $11 5/8, about 45 days latex. Then I waited for it to fall to $6 again. It nevera did!It just kept onBeegoing up, ae domestic footwear sales — clocked invest in individual bonds. As long as you hold the bonds until maturity, the issuer will return your entire principal (assuming the issuer is still in business). = inflation-indexed I-Bond. Visit Wwwreasurydirect to buy ——jgwest since 1961 — it woulld seem spare. ee ee ere and it dida’t stop until it hit $35 per share. Not only that, all my gain was 5) Newt Jacksonville. once per quarter!) When this is the case, such costs should probably not be excluded from earnings. Don’t think in terms of some at $6 and waited for it to get © If have the resources and ia Invest in individual bonds. “W's especially casytomvestim Treasury offer 2 discount to compensate for the and 1999, for example, 2 series of rate saree eae years forthe average bond fund. With the fed funds share this past quarter, the athletic footwear and sportswear ; maker to $12 again I sold lower yield. However. if you invest in bond funds, It for the year. ae en ee This is not 2 big deal for those vho Just cleared the burdle with a peany to with many companies, they occur After shouldwhut I sell a stock? —Lais, Swoosh, there it is. With the analysts having set the bar for Nike (NYSE: NKE) te cam $0.45 per = to $6, over I several ubiguriows one-time charges is that mm iming Back in the “60s, I was doing some fast trading. i waiched a certain stock fone $6 per share to $12 and beck cgcics. beahat If you are wulyafter principal bond comes along yielding * percent. If you want to sel] your nowless-attractive bond, you will haveto regulary. (Perhaps “one-time” means AR Timi 1995. And despite three rate increases in 2000, some bond funds posted double-digit remms < and were labeled one-time changes, thenthe company would be oe eamed $1] million in the quartes My Dumbest Investment aa dipped. 7 The Fool Responds: Ouch. This is © Consider short- or intermediate- term bonds or bond furds. Long-term a perfect example of why if youhave found 2 good long-term grower trading at a reasonable price, you are often best offjust buying it and epee ea Tipe asic eo jul tight cael’ ee zs yield you would currently get isn't worth the © Check out bond alternatives for always work, = happened, you can lock yourself out of sgnificant appreciation. Frequent guidance at expenses, and short-term gains are trading racks up large commission percent or 30percent. But 1iis Care to share an embarrassing Oftenmore profrable 10 hang Nike's bread and butter — in 7 percent higher than last year’s lesson learned the hard way — Looking beyond the top line, Nike —_is coming to grips with its global inventory problems. Last year. its disastrous implementationof a supply chain management system created overstocks that facled discounted clearances. Now, however,the company is starting to get its production under control. and ee ee the downside.ponias BesBoree as quickly as management woul like, as Nike aims to win back slices of market share that it has surrendered to rivals such as Reebok. Last year, Nike reported strength in 11 ofits 12 operating divisions. The ora clever move that saved or earned you moncy? Boil it down 10 100 or so words and e-mail it 10 Fool@Fool.com. If we print your dumbest or smartest investment, onto the stock for years ar decades, as Jong as you retain faith ini. Whywould you have wanted to sell Microsoft shares in 1990, after even a 100percent gain? ht would have kept doubling your money for manyyears that see Grab your 15 minutes of fame and ask 2 financial question or share your thoughts with Foo! co-founders David and Tom Gardner on The Matiey Foal Radio Show on National Public Radio. Call anytime toll-free at 866-NPR-POOL. shareholders, and rake in more than $6 billion annually. Who am I? Got @ questionfor the Fool? E-mail it 10 us at Foo!@ Fool.com. Asia. and |am moving into Lain Amenca Who amPete I? upperware) Know the answer? E-mail it to us at Fool@Fool.com and you'll be entered in a drawing fora nifty prize! Write to Us! Send questionsfor Ack the Fool, Dumbest (ar Smartest) Investments(up to 100 words). and your Tr nies 10 Fool @Fool-com. Sorry, we can't provide individual financial advice. sececesccsces ‘OOLIDIST. BY UNIVERSAL PRESS Pay Raises Likely to Be Shabby, Experts Say USA TODAY employees Despite an improving economy, many employers aretaking a cautious approach to doling out raises this year Howbad is it? Experts say the pay hikes this year could make 2001 look goud. § For 2002, nearly 60 percent of employers they are reducing merit raises toless than 3.5 percent, according to consulting firm Towers Perrin. That compares with 4 percent or more in 2001 Uncertainty caused by Sept. 11 and the economy prompted some employers to take the unusual step of revisimg salary increases down ward, according to a study by Hewitt Associates, 2 manage ment consulting and outsourc ing firm based in Lincolnshire, M@. 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