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  "docSlug": "7f8b05d541c7",
  "documentTitle": "Focus Media Holding Ltd. (FMCN)",
  "authorId": "51_Muddy_Waters",
  "authorName": "Carson C. Block",
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  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2011-11-21 00:00:00",
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      "text": "While this trade worked out well for FMCN insiders, FMCN shareholders did poorly. By Q4 2009, FMCN had written off Allyes by at least $258.4 million (including any amortization of acquired intangibles), which was a loss to shareholders of 87.0% of the original purchase price.",
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      "kind": "disclaimer",
      "text": "Focus Media reports write-downs, making it difficult to attribute them to specific acquisitions. As a result, we calculated the write-downs by subtracting the value of the acquired intangibles and goodwill at the time of disposal...",
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      "kind": "disclaimer",
      "text": "Calculated as the disclosed consideration received by insider sellers on the initial sale of Allyes ($7.4 million) to FMCN difference between the implied valuation for their share of the company based on the price paid by Silver Lake...",
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      "text": "insider profit: $7.4 million",
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      "text": "While this trade worked out well for FMCN insiders, FMCN shareholders did poorly. By Q4 2009, FMCN had written off Allyes by at least $258.4 million, which was a loss to shareholders of 87.0% of the original purchase price.",
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      "text": "The insiders who profited so nicely are Jason Jiang, board member Neil Shen, CFO Kit Long, and Xiong Xiangdong. Mr. Xiong has no ostensible connection to FMCN, but he appears to have a good deal of behind the scenes involvement with FMCN.",
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      "kind": "paragraph",
      "text": "Trade I – likely putting at least $7.4 million in the pockets of Shen, Xiong, and possibly Jiang.",
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      "text": "FMCN bought Allyes on March 28, 2007 for total consideration of $296.9 million, including an earn-out recorded as $71.9 million in 2008. FMCN insiders likely received at least $7.4 million in profit in this transaction, likely at a return of at least 150.0%.",
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