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

To: Peter J Hudson who wrote (122077)	7/25/2002 1:47:28 AM
From: A.L. Reagan	Read Replies (1) \| Respond to of 152472

The problem with this logic is that an unexercised option (expired worthless) has no cost to the company. This is really silly, Peter. Let's say a company has a pension plan. (Many do.) Would you advocate pure "pay as you go" accounting for pensions? If the employee prematurely kicks the bucket, guess what - there's no cost to the company for that employee - so under your logic why ever accrue pension expense as a match to when the services are performed - since some employees will never collect? (Never mind that the percentage that will collect can be reasonably estimated, and adjusted if facts change.) Better yet (not than you can under ERISA), suppose you had a pension plan that paid out retirees in common stock of their former employer, which they could then turn around and sell on the open market. Hey, no cost pension plans. Yipee!