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Technology Stocks : Qualcomm Incorporated (QCOM)
QCOM 180.74-0.1%Nov 3 3:59 PM EST

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To: Wyätt Gwyön who wrote (120092)6/9/2002 9:32:25 PM
From: techlvr  Read Replies (1) of 152472
 
To me, the fact that they exercised these options when they weren't required to yet and as a result immediately took a tax hit of about $35M is a pretty strong endorsement. I think it is a subtle way of saying two things:

1. They believe in the company and its prospects and are willing to pay taxes out of pocket earlier than necessary to let the shareholders know this.

2. They are pragmatic, and see that they can save a lot more in taxes later by exercising the options now at the current low price, thereby signifying that they are concerned/confident that the share price is going to do nothing but go up.
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