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Technology Stocks : IBM
IBM 306.44-1.9%Nov 7 9:30 AM EST
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To: saju chacko who wrote (4517)1/22/1999 9:44:00 AM
From: Brad Patton  Read Replies (2) of 8218
 
Stock splits (as well as shares issued in mergers and acquisitions) come out of the shares authorized. This number is different than shares outstanding. Most companies have more shares authorized than outstanding to use for the above reasons and also for employee options and purchases. Increases in authorized shares and stock splits have to be approved by shareholders. The two can be done at the same time.
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