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Technology Stocks : Long Term Investors' Outpost -- Ignore unavailable to you. Want to Upgrade?

To: hueyone who wrote (407)	8/20/2002 4:09:19 PM
From: Uncle Frank	Read Replies (4) \| Respond to of 562

>> Because last time FASB made this recommendation in 1994, Senator Lieberman paid off by business lobby money, threatened to shut them down. Huey, I don't even like Lieberman, but I'm ruffled by your allegation. Certainly this isn't a matter of public record, or Joe would be in the slammer by now. >> Let's say I am the QCOM CEO, and I give you, our QCOM employee, the option to buy one share of QCOM with a two day vesting period, and I further grant you the option at the below market price of zero dollars. I'm not well versed on accounting terminology, but wouldn't that be a stock grant as opposed to a stock option? The concept behind stock options is that they are worthless at the time they are awarded, and only become valuable if the company does well. Since there are no guarantees of that, I find it hard to see the logic in treating them as expenses to the company.