I think it's important to keep things in context, it was the ASX that first chose and used the words "reasonable person".
Their choice of these words and lack of definition diminished the credibility and impact of the lengthy communication from the ASX Listings Compliance Advisor, Kate Kidson.
"Listing Rule 3.1, which requires a listed entity to give ASX immediately any information concerning it that a reasonable person would expect to have a material effect on the price or value of the entity’s securities."
It was also clear in XRO's response that:
"Terms used, but not defined, in this letter have the same meaning given to them in your letter."
Hence it is spurious to attribute the word 'reasonable' or 'reasonable person' to Xero, when in fact they have used a word chosen by the ASX, with no definition provided.
In any other respect I think XRO have a good argument that their reporting methodology is more sound and reasonable in their case, than focusing on earnings.
Though for what's it's worth, that wouldn't convince me to invest in XRO at a share price that has no basis in fundamentals, and a company that has no plan for timeframe to achieve profit.
BAA