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Technology Stocks : America On-Line: will it survive ...?
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To: S. maltophilia who wrote (5655)11/7/1997 1:04:00 PM
From: Tim Kenney  Read Replies (2) of 13594
 
>I haven't seen the 10Q for this quarter yet, so maybe someone can enlighten us:

When and where were the ~18 million shares issued?
What money resulted from their issuance?<

AOL generously rewards its officers with stock options (even Sam may get a dribble). This, of course, is not properly accounted for on their financial statement. (But, then again, no one does.) This serves to overstate earnings and make Stevie want to very badly to keep the stock price going up so he can mine the gold in them there options. However, although the cost of the options are not properly deducted from company earnings, they do show up in the number of shares used to calculate a fully diluted EPS number.
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