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

To: pgerassi who wrote (172047)	12/1/2002 11:02:25 PM
From: GVTucker	Read Replies (1) \| Respond to of 186894

pgerassi, RE: That is not how stock option buy backs are accounted for. You are confusing two things here: awarding stock options to employees and share buy backs. They are completely separate events from an accounting perspective. These buy backs must happen or stock options can not be given over the long term. Not true. As long as the shares outstanding is less than the authorized shares, a company can award options and never buy back a share. Cisco did this throughout the bubble, and increased their shares outstanding by billions. Along the way, Cisco management just increased the authorized shares when necessary. They weren't permitted to buy back shares because of the conitnued pooling-of-interest acquisitions.