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Pastimes : Clown-Free Zone... sorry, no clowns allowed -- Ignore unavailable to you. Want to Upgrade?

To: Knighty Tin who wrote (260450)	9/15/2003 3:24:22 PM
From: ild	Read Replies (1) \| Respond to of 436258

From CSCO 10K: Stock Options If options were expensed in fiscal 2003, GAAP net income would have been $2.3B, or $0.32 per share, 35% lower than the reported numbers of $3.6B or $0.50 per share. This compares to 2002 when expensing stock options would have resulted in GAAP net income of $373M or $0.05 per share, 80% lower than reported numbers of $1.9B of net income or $0.25 per share. Cisco received a total benefit from employee stock options of $710 M in fiscal 2003, down slightly from $716M in fiscal 2002. This amount includes a $132M tax benefit and $578M in cash from employee option exercises in fiscal 2003 compared with a $61M tax benefit and $655M in cash from employee option exercises in fiscal 2002. Pro forma option compensation expense was $1.25BM in fiscal 2003, down from $1.52BM in fiscal 2002. As of July 26, 2002, Cisco had 748M exercisable options outstanding at an average price of $26.12 per share, up from 731M exercisable options at an average exercise price of $25.33 per share at the end of Q303. On September 2, 2003, Cisco granted 141M employee options, or 1.9% of total shares outstanding. Cisco typically grants options roughly amounting to 3% of shares outstanding to employees each year. In fiscal 2003, CSCO granted 174M options or 2.4% of total outstanding, while in fiscal 2002, CSCO granted 282M options, or 3.8% of shares outstanding. EDIT: At JNPR: Expensing stock options would have cost Juniper $0.04 or $18.3M in Q203, resulting in reporting a loss of $0.01 compared to a profit of $0.04, after adjusting for $1.6M in amortization of deferred stock compensation. This compares to a cost of $0.10 or $26.6M in Q202, which would have resulted in a reported loss of $0.08 compared to a profit of $0.02, after adjusting for $4.9M of deferred stock comp expense.