RE:RE:SP
willmike,
I think you missed completly the point. I took a simple explanation to show the difference between book value and the fair market value.
The fact that I put or not a lick of paint doesn't change the notion of book value, or on what accounting method use to put a value on an asset. I could have elaborate and by telling I did maintenance (non capex exepenses) or I add a swimming pool and now my book value is $ 130K.
But What have not change, is the value of my assets. If similar houses in the market in my area are sold for $ 340K, then it's legitimate to say that my house worth $ 340K and that's the price I would asked for it.
PLI may have a book value, but the patents, the drug candidates in the pipeline, the goodwill and future sales have simply an higher value than the book value, thus the difference between the book value and the fair market value.
But maybe my analogy was too simple for a superior mind like yours....
P.S. Last time an idiot called me a pumper, it was something like one year ago, and the stock appreciate 400% since. I can take another run like that!