Friday, November 04, 2005

Rating Firm Claims it Can Spot the Next Tyco


A small corporate governance rating company that sounded early warnings about the troubles that hit Global Crossing, Tyco, and AIG now has its eye on Home Depot, Lucent, Wells Fargo and Viacom -- along with another 158 companies in the FORTUNE 500, FORTUNE reported Thursday.

Researchers at the Corporate Library pore over their own data, charts and historical records to forecast corporate disasters -- scandals, bankruptcies, lawsuits and other threats to shareholders.

Focusing on the performance of corporate boards, the Portland, Maine, firm has in its short history anticipated a number of storms that others have missed, including those at Global Crossing, Tyco, Sprint, DPL and Kmart.

See full Article.