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To: whortso who wrote (66327)	12/26/2001 10:05:57 PM
From: Dan3	Read Replies (1) \| Respond to of 275872

Re: I'm saying Intel buys back shares today to provide for the options they grant today. They did the same thing 5 years ago, so the ones exercised today are not the ones bought today but they are the ones bought 5 years ago. No they didn't. Can you document otherwise? You're the one that made the idiotic claim, you document it.

To: whortso who wrote (66327)	12/26/2001 10:43:05 PM
From: Joe NYC	Read Replies (1) \| Respond to of 275872

whortso, Can you document otherwise? LOL. I think the ball is in your court, since you are the one with the off the wall theory (contrary to common sense and general understanding). Let me give you some hints of possible footprints you can look for in your search: Basically, under your hypothesis, when Intel issues the call option to an employee, the expenses are all taken upfront. To hedge a naked call option, what you need I guess is: -Borrow money to buy the stock for the length of the contract -Buy the stock -Buy a put option to protect yourself from the newly acquired stock from tanking on you If your hypothesis is correct, all these would have to show in the financial statements, since we are not talking peanuts. If the transactions on this scale were happening, SEC and FASB would make Intel report them. You need to find: - the portion of the treasury stock that has been set aside for these options, and how it is accounted for - a liability that Intel took on by borrowing the money (internally or externally) - expense for the hedge Joe