{
  "docId": "019dd923-622c-750b-8b96-41d40681094a",
  "docSlug": "990838b0a753",
  "documentTitle": "NQ Mobile (NQ)",
  "authorId": "51_Muddy_Waters",
  "authorName": "Carson C. Block",
  "documentKindSlug": "research-note",
  "documentKindLabel": "Research note",
  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2014-04-13 00:00:00",
  "orientation": "portrait",
  "aspectRatio": 0.77272725,
  "pageNumber": 6,
  "pageCount": 7,
  "prevPage": 5,
  "nextPage": 7,
  "slideType": "expose_contradiction",
  "function": "expose_contradiction",
  "density": "overcrowded",
  "nDataPoints": 2,
  "notes": "This is a page from a short-seller research report (likely Muddy Waters) attacking NQ Mobile.",
  "elementsJson": [
    "paragraph",
    "quote_block",
    "footnote"
  ],
  "metadataConfidence": 1,
  "imagePath": null,
  "slideHref": "/slides/019dd923-622c-750b-8b96-41d40681094a/6",
  "deckHref": "/decks/019dd923-622c-750b-8b96-41d40681094a",
  "deckJsonHref": "/decks/019dd923-622c-750b-8b96-41d40681094a.json",
  "deckAnchorHref": "/decks/019dd923-622c-750b-8b96-41d40681094a#slide-6",
  "components": [
    {
      "bbox": null,
      "kind": "callout",
      "text": "In reality, Mr. Khan is merely a $100 million sock puppet.",
      "attrs": null,
      "subkind": null,
      "toolName": "Visual emphasis",
      "toolSlug": "visual-emphasis",
      "confidence": null,
      "componentId": "019dd953-203d-768d-bafe-648ad684389e",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.04,
        "w": 0.72,
        "x": 0.14,
        "y": 0.8
      },
      "kind": "paragraph",
      "text": "In reality, Mr. Khan is merely a $100 million sock puppet. His true value to Chairman Lin, beyond his ability to speak a dialect of English known as Consultant Speak, is to spew",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "1abc8496-3a11-4f34-91e8-eb556fd5b02f",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.06,
        "w": 0.72,
        "x": 0.14,
        "y": 0.11
      },
      "kind": "paragraph",
      "text": "\"We consider the recent drop in NQ Mobile's share price to be artificially created by false allegations and we believe our stock to be currently undervalued,\" commented Dr. Henry Lin, Chairman and Co-CEO of NQ Mobile.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "562f5f14-2f23-47b0-9cb4-c711cf09cb35",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.06,
        "w": 0.72,
        "x": 0.14,
        "y": 0.22
      },
      "kind": "paragraph",
      "text": "To call a spade a spade, $3 million is a token amount. But even we are surprised that management did not spend a single dollar buying shares in Q4 – particularly considering that during much of December, the stock was trading in the $11 range.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "a36b085c-132f-40e4-ab72-ed612cbd18d5",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.04,
        "w": 0.72,
        "x": 0.14,
        "y": 0.39
      },
      "kind": "paragraph",
      "text": "When a company craps out new shares the way NQ does, it's hard to believe there is a draconian – let alone merely responsible – share trading policy in place.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "c87bbffd-f414-487e-b7ad-8639c2b6646f",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.06,
        "w": 0.72,
        "x": 0.14,
        "y": 0.53
      },
      "kind": "paragraph",
      "text": "It is not lost on us that if NQ were a real company, Omar Khan would have been fired long ago. Mr. Khan's stock compensation package has been worth approximately $100 million. Yet, he has delivered little more than press releases.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "d517462c-7ac0-44ab-ab4e-22c6398699da",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "quote",
      "text": "\"We consider the recent drop in NQ Mobile's share price to be artificially created by false allegations and we believe our stock to be currently undervalued,\" commented Dr. Henry Lin, Chairman and Co-CEO of NQ Mobile. \"The plan to purchase NQ Mobile shares by the NQ Mobile senior management team demonstrates our strong confidence in the company and reflects our commitment to executing our business plan and delivering shareholder value.\" — Dr. Henry Lin",
      "attrs": null,
      "subkind": null,
      "toolName": "Authority citation",
      "toolSlug": "authority-citation",
      "confidence": null,
      "componentId": "019dd953-203d-768d-bafe-6ba623454ec6",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.02,
        "w": 0.25,
        "x": 0.14,
        "y": 0.89
      },
      "kind": "source-note",
      "text": "7 Omar Sharif Khan, Q4 2013 conference call.",
      "attrs": null,
      "subkind": null,
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "7f7f2758-d418-48c5-9bd9-068084fdb3ad",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.02,
        "w": 0.45,
        "x": 0.14,
        "y": 0.49
      },
      "kind": "title",
      "text": "What Role Would Omar Khan Have at a Real Company?",
      "attrs": null,
      "subkind": "headline",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "86d6c956-d3f9-47c1-9a3f-c313fbcc749b",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [],
  "tools": [],
  "frameworks": [
    {
      "name": "expose_contradiction",
      "slug": null,
      "matchId": "716d912b-52d3-4650-aeba-0bc56e460bbc",
      "evidence": "Contrasting management's stated confidence with their lack of share purchases.",
      "confidence": 0.9
    }
  ],
  "arcBeats": [],
  "loops": [],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}