Yesterday's Wall Street Journal wrote "Auction-Rate Securities Give Firms Grief", which said, "A review of first-quarter earnings reports showed that more than 400 companies, including Google Inc., Bed Bath & Beyond Inc. and Starbucks Corp., held at least $30 billion in the securities, instruments they once thought were as dependable as cash.... Some companies have had to scramble for funds in the months since the market froze up in February. The securities also are creating an accounting problem for businesses not used to pricing complicated securities. While some companies have written down the value of their auction-rate holdings, many others haven't, even though market prices have fallen substantially." Also yesterday, Bloomberg wrote "Auction Suits Face Burden of Proof Eluding Lawyers".
