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Re: reflections311 post# 9186

Wednesday, 01/04/2012 10:00:45 AM

Wednesday, January 04, 2012 10:00:45 AM

Post# of 54558
No, they usually won't tell how much a contract is for, why would they need to? It doesn't matter that it's OTC, a contract with Ford is a contract with Ford. Here is one hypothetical of why it matters:

Let's say MWWC comes out and says, we just signed a 3 year contract with Ford for $10 million. Now let's say a competitor of ours (same size company as us) who also services Ford was only issued a 2 year contract for $5 million around the same time. Now that other company will be thinking, why didn't we get a larger contract?? Just as we're told growing up that it isn't polite to brag about our salary, the same applies to contracts in the business world.

That is just one example, there are several others. We will eventually see those figures worked into the revenue, but we may never know the value of each contract.