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  "documentTitle": "Kornit Digital Ltd. (KRNT)",
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  "authorName": "Ben Axler",
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  "presentationDate": "2019-05-07 00:00:00",
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      "kind": "callout",
      "text": "Per Kornit's own SEC disclosures, it his no “historical” experience with rebates, and has never disclosed use of rebates prior to the 2016 20-F",
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      "kind": "callout",
      "text": "Kornit's redacts key rebate terms, but the word “anniversary” suggests upwards of year to pay rebates",
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      "text": "KRNT Rebate Disclosure",
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      "kind": "callout",
      "text": "Kornit has obscured the rebate terms received from Amazon, and the amount it recognizes in its income statement, but says that it accounts for rebates on “historical experience” or “specific terms and conditions of the incentive”.",
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      "text": "Contract excerpts for Printers and Ink",
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      "text": "The Company periodically provides customer incentive programs including product discounts and volume-based rebates, which are accounted for as reductions to revenue in the period in which the revenue is recognized. These reductions to revenue are made based upon reasonable and reliable estimates that are determined by historical experience and the specific terms and conditions of the incentive.",
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      "text": "Kornit has obscured the rebate terms received from Amazon, and the amount it recognizes in its income statement, but says that it accounts for rebates on “historical experience” or “specific terms and conditions of the incentive”. We see two problems with this: 1) Kornit has never disclosed offering rebates before in its SEC filings, so what “historical” experience does it have? 2) The rebate terms of the Amazon agreement are redacted, but based on our interpretation, the “Printer Measurement Period” can extend up to or beyond a year as referenced by the term “anniversary”. This suggests Kornit may be delaying significant rebates into 2019. Maybe now we know why Kornit said the timing and scale were difficult to predict.",
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      "text": "“The Company periodically provides customer incentive programs including product discounts and volume-based rebates, which are accounted for as reductions to revenue in the period in which the revenue is recognized. These reductions to revenue are made based upon reasonable and reliable estimates that are determined by historical experience and the specific terms and conditions of the incentive.” — Kornit 2016 20-F",
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      "text": "Rebate Concerns (Cont'd)",
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