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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: AK2004 who wrote (161453)	3/7/2002 5:39:29 PM
From: GVTucker	Read Replies (2) \| Respond to of 186894

The specific conversion from basic shares to diluted shares is complex but not really subject to opinion. Here is what SFAS 128 says: "Diluted EPS The computation of diluted EPS is similar to the computation of basic EPS with the following two adjustments being made: Denominator adjustment----The denominator is increased to include the number of additional common shares that would have been outstanding if the dilutive potential common shares had been issued. Numerator adjustment-----The numerator is adjusted to add back(1) any convertible preferred dividends and (2) the after-tax amount of interest recognized in the period associated with any convertible debt." "Dilutive potential common shares" includes warrants, convertibles and options if they are dilutive. While the specific calculation of dilutive is modestly complex, it is a good enough approximation to do what I suggested earlier, just include those securities that are in the money. While it is possible to do a more specific calculation of what is dilutive, it is quite frankly both a waste of my time and yours. The last time I did such a calculation, someone made me do it, much to my regret.