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Technology Stocks : Cisco Systems, Inc. (CSCO)
CSCO 72.34-2.9%Nov 4 3:59 PM EST

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To: Lizzie Tudor who wrote (60736)8/6/2002 10:12:54 PM
From: GST  Read Replies (3) of 77397
 
Hi Liz: You know very well that options are compensation -- to say other wise is pure BS -- the issue is how to account for them, and on that score there is room for debate. There is no consensus on the best method of valuation. But that is historically true of most things that are accounted for. It takes time for principles to be applied correctly and for standards to form. But people who flat-out argue against expensing options should be completely ignored as they have nothing to add to the debate. Options are compensation. Compensation is an expense. Expenses belong on the profit and loss statement. All the self-serving statements of all the tech CEOs in the world -- JC included -- are worthless if they are unable to honor these basic facts.
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