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  "documentTitle": "TeliaSonera AB (TLSN)",
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  "authorName": "Muddy Waters",
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  "sourceTypeLabel": "Short seller",
  "presentationDate": "2015-10-15 00:00:00",
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  "notes": "This is a page from an activist investor letter (likely Elliott Management) critiquing TeliaSonera's financial reporting practices.",
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      "text": "We have issues with TeliaSonera’s continuation of two previous accounting gimmicks that in 2013 and 2014 (the two years for which this board is responsible for the financials) respectively inflated reported EPS by SEK0.19 per share and SEK0.12 per share, or 5.9% and 3.8%.",
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      "text": "write-downs: SEK 20 billion",
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      "text": "We have issues with TeliaSonera’s continuation of two previous accounting gimmicks that in 2013 and 2014... respectively inflated reported EPS by SEK0.19 per share and SEK0.12 per share, or 5.9% and 3.8%.",
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      "kind": "paragraph",
      "text": "sheet, which they might have interpreted as a sign of strength. Truing up Telia’s financial statements could involve write-downs of as much as SEK 20 billion (US$2.5 billion).",
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      "text": "The first gimmick TeliaSonera uses to inflate reported EPS is to unjustifiably reduce non-controlling interests’ shares of income... Telia’s (also questionable) partner in Nepal pledged 20% of Ncell to the company as collateral on a US$230 million loan.",
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      "text": "The second gimmick is TeliaSonera’s ignorance of an accounting standard to keep a large expense off its income statement. TeliaSonera accounts for Fintur’s contingent obligation to purchase its Azertel partners’ stake... as a liability.",
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      "kind": "paragraph",
      "text": "Rather than rinsing the company’s financials clean of its past problematic accounting, the company appears to be gradually trying to let the air out of the inflated balance sheet through incremental impairments.",
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      "text": "According to the Turkish Gazette, Fintur declared 2014 dividends to the put option holder of SEK US$43.7 million (SEK 354 million). — Footnote 21",
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      "text": "21 According to the Turkish Gazette, Fintur declared 2014 dividends to the put option holder of SEK US$43.7 million (SEK 354 million).",
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