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  "documentTitle": "Hill-Rom Holdings, Inc. (HRC)",
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  "authorName": "Ben Axler",
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  "presentationDate": "2019-10-29 00:00:00",
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  "notes": "The slide uses a comparison of two company earnings disclosures to highlight a pattern of aggressive accounting.",
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      "text": "As Newell, unlike Hill-Rom, adjusts core sales for the impact of acquisitions, Hill-Rom is in fact more aggressive than Newell in its definition and calculation of core growth",
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      "text": "NWL: Q2 FY19 Earnings Press Release",
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      "text": "Very few companies report a self-defined “core growth” metric designed to remove the negative impact of divested businesses. Even when they do, most limit the excluded segments to business which have already been divested. As noted, we are suspicious of Hill-Rom’s choice to excluded not only businesses which it has already divested or exited, but also slow-growing business lines which it intends to exit in the future, despite giving investors no clear indication of how it intends to exit these businesses, nor whether it can get anything in return for them whatsoever. Concerningly, not only is Newell one of the few public companies to report a “core growth” KPI, but it is the only company other than Hill-Rom which we have found to exclude both completed AND planned divestitures from “core growth.” Did recently-departed CFO Steve Strobel bring this practice from the struggling Newell to Hill-Rom as a way to present stronger growth in the face of top-line headwinds?",
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      "text": "We are concerned that this liberal definition of “core revenue” gives the management teams of struggling companies – particularly multifaceted roll-ups like Newell and Hill-Rom – broad discretion to report sales in a way as to give the appearance of healthy growth despite serious top-line headwinds",
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      "text": "CFO Bringing Dubious Reporting Practices To Hill-Rom From Another Struggling Roll-Up?",
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