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Technology Stocks : Cisco Systems, Inc. (CSCO)
CSCO 77.80-1.9%Dec 12 9:30 AM EST

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To: Jacob Snyder who wrote (61375)9/19/2002 5:34:37 PM
From: Lizzie Tudor  Read Replies (1) of 77400
 
And, in the tech world, not counting employee stock options as an expense, is probably THE biggest example of Creative Accounting. Yet managements just don't GET IT. They are still making excuses, lobbying hard in Washington against reform, and hoping investors will continue to SuspendDisbelief.

The problem is that there is this very vocal group of option expensing hawks and no evidence exists that the shareholders are as a whole, have the same motivations.

The options expensing crusade lost a lot of steam by putting forth the black scholes approach too... which couldn't even gain support from a majority of accountants.

Lizzie
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