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Technology Stocks : Cisco Systems, Inc. (CSCO)
CSCO 76.44-0.6%10:11 AM EST

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To: Lizzie Tudor who wrote (63613)4/18/2003 9:01:28 PM
From: SouthFloridaGuy  Read Replies (2) of 77400
 
No, I do not agree. You clearly haven't read the case. Anytime you have a deal that has multiple instruments encompassed in the "unit" and one of those units is say warrants or options, you need to use Black Scholes. This happens many times when the I-Bankers are trying to price a deal and make all parties happy, but the value of the equity is not explicitly stated. It probably happens less today because it's unethical, but to say that Black Scholes isn't used is plain wrong.

Anyway, maybe you only know the big swinging dicks, so they are telling you that it's not used. I only know the peons who actually have to value the damn things.

E.O.D.
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