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The year of 1878 was the year of male operators, who seem to have been an instant and memorable disaster. The lads, most of them in their late teens, were simply too impatient and high spirited for the job, which, in view of the imperfections of the equipment and the inexperience of the subscribers, was one demanding above all patience and calm. According to the late reminiscences of some of them, they were given to lightening the tedium of their work by roughhousing, shouting constantly at each other, and swearing frequently at the customers. An early visitor to the Chicago exchange said of it, The racket is almost deafening. Boys are rushing madly hither and thither, while others are putting in or taking out pegs from a central framework as if they were lunatics engaged in a game of fox and cheese. It was a perfect bedlam.

The bullish stock reports and bearish internal emails of Henry Blodget, the former Internet stock analyst of Merrill Lynch, have caused Merrill embarrassment and were a large factor in the $100 million settlement in late 2002 of an action brought by the New York State Attorney General, Elliott Spitzer Blodget has been banned from the securities industry and assessed a fine of several million dollars In August 2002, Jack Grubman, the former telecom analyst at Salomon Smith Barney, resigned amidst SEC investigations alleging that he upgraded or main-.

evaluations, the inductor, capacitor, and AC voltage source can be left in the circuit. This is accomplished by changing the value of L1 to 1 pH, and C4 to 1 pF. To simulate the audio susceptibility performance, an AC source statement must also be added to the input voltage source, V1. The results of the audio susceptibility simulation are shown in the graph of Fig. 5.5.

Later in 1878 the boys were grabbed by their ears and removed from their operator positions, replaced quickly and, according to a multitude

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Wfm1: Gain in dB (Volts)

of accounts, to the enormous satisfaction of the customers by women, shown in Figure 2-30. These operators were, in fact, the first switches. Now, instead of needing a dedicated circuit running from every customer to every other customer, each subscriber needed a single circuit that ran into the central exchange, where it appeared on the jack field in front of an operator (each operator managed approximately 100 positions, the optimum number according to Bell System studies). When a customer wanted to make a call, he or she would crank the handle on the phone, generating current which would cause a flag to drop, a light to light or a bell to ring in front of the operator. Seeing the signal, the operator would plug a headset into the customer s jack appearance and announce that she was ready to receive the number to be dialed. The operator would then simply crossconnect the caller to the called party, then wait for the receiver to be picked up on the other end. The operator would periodically monitor the call and pull the patch cord down when the call was complete. Incidentally, note the roller skates on the feet of the supervisors. The cord boards were so long that the process of collecting tickets took far too long, so they added mobility! This model meant that instead of needing 3,997,999 circuits to provide universal connectivity for a town of 2,000 people, 2,000 were needed a rather significant reduction in capital outlay for the telephone company, wouldn t you say Instead of looking like Figure 2-29, the network now looked like Figure 2-31.

tics Common relative value measurements include market/ book, price/earnings, price/cash flow, and price/sales residual value The terminal value of a company beyond the excess return period Calculated by dividing NOPAT by WACC return to stockholder A shareholder-realized return in the form of capital appreciation and dividends over the holding period revenues Net sales generated by firm operations revenue growth rate An annualized growth rate of sales over a specified time period, usually 5 10 years risk Unanticipated change in investment returns over an extended period of time, as measured by the volatility of returns risk-free rate of return (Rf) The rate of return on the 30-year US Treasury bond secondary market The markets in which securities are traded after their initial issuance The NYSE, AMEX, and NASDAQ are secondary markets senior claims The highest level of financial claims issued by a company.

Figure 2-30 First women operators (Courtesy Lucent Technologies)

0 -100.000

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