Amazon.com second quarter earnings did not make investors happy, with net income down sharply from 2005 thanks the severed relationship between the internet retailer and Toysrus.com to $22 million, or 5 cents a share. Investors had driven the stock down below its 52-week low by the time the hold music had come to an end and the conference call had begun. Here's a link to the company's report.

5:04 p.m. After the usual disclaimers, CFO Tom Szkutak ("Tom") takes over to do a dry recap of the results. He sounds very, very, very softspoken. Even, a little ... afraid? Maybe he's just a master of zen.

5:08 p.m. I have to turn my volume up to hear him. "We continue to invest in increased selection." The SKUs in warehouses have increased by 48%, and Tom points out the new grocery selection, as well as the addition of German sporting goods.

5:09 p.m. Revenue grew 23% excluding the impact of Toysrus.com in North America. Gross profit grew 11%, although the gross margin decreased. I think he said 174 basis points of 220 total bps decline -- a huge part of it, but the decrease would have been there regardless. That's interesting and I hope management explains the reason for those missing 50-some basis points in operating margin shortfall.

5:10 p.m. He says that international operating income and margins decreased due to low prices, including free shipping, and a change in mix.