Hey, someone else cares about Sandisk's funky accounting. Weird.

Barron's wrote up a piece on SNDK detailing the er lack of details on Sandisk's off balance sheet fab accounting. The article focused on how keeping the fab spending off the books obfuscates the true cost of their aggressive expansion. I agree, though I tend to focus more on the way it affects gross margins and they're looking more at how it affects cash drain. Regardless, they've got a very bold capex plan for the next 3 years, with 4 billion dollars slated to go into the murky JV. The article comes to the conclusion that if Toshiba cut the amount of money they contributed to the JV, Sandisk would wind up owning over 50% of the venture. They wouldn't be that stupid. If Toshiba cut capex, so would Sandisk. C'mon, guys.

At any rate, it's good to know someone else has noticed that Sandisk's true operating results are very different from their reported numbers. Still don't like it here.