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Technology Stocks : Cisco Systems, Inc. (CSCO)
CSCO 78.050.0%2:33 PM EST

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To: Amy J who wrote (66089)8/27/2004 10:53:53 AM
From: Kirk ©  Read Replies (1) of 77400
 
I don't agree.

I fully understand how it benefits a company to let shareholders pay salary so they don't have to deduct it from income. I think shareholders, which it sounds like by your defense that you are a member of this group, are not aware that the practice means they have been giving away so much of the companies value.

Go through the exercise of tabulating Cisco's total earnings for the past few years and then figure out where they went. Did they go into increasing book value (investing in future growh), did the earnings go to paying dividends (a return on your investment) or did they go to insiders who are less flamboyant than Sam Waxal?

Remember I don't own the stock and you must convince people like me to buy it if you want your shares to go up. I have already told you I don't care about your salary argument except for how it effects book value or dividends. The company can motivate its employees to work hard by playing rap music at lunch for all I care. I care about the bottom line.

Kirk
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