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Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: jazzcat2000 who wrote (122023)	7/24/2002 4:50:17 AM
From: Elroy	Read Replies (2) \| Respond to of 152472

If a company gives options to its employees, then the company's diluted share count increases, yes? So option grants are already run through the income statement in the diluted share count. Expensing them, even though their cost is only the dilution of the existing shares and has shown up in the diluted share count, would artificially lower reported earnings. Expensing option grants is double counting. I have never understood the reason people want option grants to run through both the operating expense lines AND the diluted share count - it seems like double counting to me. Elroy