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Technology Stocks : JDS Uniphase (JDSU) -- Ignore unavailable to you. Want to Upgrade?

To: t2 who wrote (6787)	2/25/2000 6:16:00 PM
From: Guy Gordon	Read Replies (1) \| Respond to of 24042

Well, you don't have to understand it, as it has no bearing on the value of the stock or the company -- but here it is. In Canada, there are special stupid rules against holding more than a certain percentage of US stocks in their equivalent of the IRA. When JDS Fitel and Uniphase merged into JDSU the created a Candian stock JDU, which exchangable for JDSU specifically for the purpose of allowing their employees to keep the stock in their retirement accounts. JDU and JDSU exchange 1:1, taking into account the US$:C$ rate. So when JDS Uniphase wants to split their stock they have to split both stocks. For some reason they always split the Canadian JDU shares a week or so ahead of the JDSU shares. Once the JDU shares are trading at the post-split price you can't exchange them for JDSU until it splits. So they create a new "stock" JDSUV, which is nothing but the post-split JDSU. It's only purpose is to balance the accounting, and it disappears as soon as JDSU splits. You don't have to worry about any of this, as your broker does that for you.