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Computer Associates' Financial Woes

Previously, three former company executives--the CFO, the vice president of finance and a senior VP--admitted lying to law enforcement officials who were investigating allegations that CA hid negative financial results and overreported sales and bookings in 2000. Subsequently, CA fired nine more managers connected to the scandal.

The re-emergence of the scandal slings mud on some real inroads CA has made in recent years, including significant improvements to its backup, security and network-management product lines. But customers needn't worry about CA's long-term viability--the company will stay afloat as long as its board continues to react quickly to the litigation.