Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: The Duke of URL© who wrote (174246)	4/25/2003 4:15:40 PM
From: hueyone	Respond to of 186894

you should learn how to spell Warren's name correctly, "Buffett". Another brilliant response from the lawyer who in his infinite wisdom has determined that everyone else is stupid who doesn't share his enlightened opinion regarding stock options expensing. LOL. Regards, Huey

To: The Duke of URL© who wrote (174246)	4/25/2003 4:21:15 PM
From: hueyone	Read Replies (1) \| Respond to of 186894

And no enlightened one, you aren't the first to discover that there would be a discrepancy between valuing once at date of grant, amortizing this expense over the vesting periods versus the tax treatment of options exercise by the IRS (if indeed you have even got this far). There are a number expensing proposals that favor valuing the options at date of grant, amortizing the expense over the vesting period, but revaluing the options expense annually or quarterly until the options have been exercised or expired, thus reconciling the final expense reported to investors and the final expense reported to the IRS. These proposals have the additional benefit of addressing those concerned with expensing underwater options that may likely never see the light of day. Frankly, I am for a proposal along these lines. Nevertheless, I can also recognize the accounting theory for valuing at date of grant with no further adjustment, and will support such a conclusion if that is what FASB decides. It would be a vast improvement over the silly treatment we have now that value stock options at zero dollars on the income statement imo. Regards, Huey