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Technology Stocks : Qualcomm Incorporated (QCOM)
QCOM 173.96+1.4%3:59 PM EST
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To: Art Bechhoefer who wrote (121744)7/18/2002 11:05:44 AM
From: hueyone  Read Replies (1) of 152472
 
Does Q expense options? Yes, when the options are exercised. That's the way the current law is written. You footnote the options and expense them when they're exercised. The cost is equal to the difference between market price of the shares and what the executive has to pay.

That is a terribly misleading answer Art. Although QCOM arguably expenses options at time of exercise to the IRS (which effectively results in the tax benefit for exercise of stock options), they do not expense options on their income statements provided to shareholders. I am quite sure this is the question for which the poster wanted an answer. So the answer is "No, QCOM does not expense stock options on the income statements provided to shareholders."

Huey
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