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Technology Stocks : Cisco Systems, Inc. (CSCO)
CSCO 72.10+1.4%Nov 10 3:59 PM EST

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To: GVTucker who wrote (41342)10/23/2000 2:42:56 PM
From: The Phoenix  Read Replies (2) of 77397
 
GV,

You're taking two different subjects and suggesting that CSCO deals with them both in the same manner. I have read the 10K and although it is true that I don't remember every line I read I do remember most of the important things. Acqusitions funded through pooling and issuance of new shares is indeed dilutive... we all agree with this. However the stock option program is funded with existing shares the way I read the 10K. If you'll note under the ESPP plan

Employee Stock Purchase Plan (the "Purchase Plan") under
which 222 million shares of common stock have been reserved for issuance


Now CSCO is not clear on the option plan but I think you'll find they use the same mechanisms perhaps holding some stock directly or through open market options... I can't help but note the $5B+ of unrealized equity gains and the half billion in option contracts..
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