To: rkral who wrote (176323 ) 12/30/2003 2:09:29 PM From: Robert O Respond to of 186894 Ron, you have posted the following a number of times: Existing stockholders, i.e., those who were stockholders at the beginning of the accounting period, would be able to see .. *in the EPS alone* .. the impact of an options policy. If net income is $1.20 per old share, but shares outstanding increases 20% due to non-cash compensation .. then net income is $1 per new share. This is the share dilution that everyone knows about, and seems to agree with. But this POV only covers *additions to stockholders' equity*. Without expensing, the EPS does not reflect the impact on *existing stockholders' equity*, i.e., the equity that existed at the beginning of the accounting period. It makes the situation VERY clear to those who might not have understood the real issue. I cannot understand why folks like Amy hide their head in the sand when it comes to the second part of your message. You have provided FULL numerical examples to make this idea clear and yet... Ah well, Amy is too busy praising China for all its achievements ... like 1989: Massacre in Tiananmen Square Several hundred, possibly thousands, of civilians have been shot dead by the Chinese army during a bloody military operation to crush a democratic uprising in Peking's (Beijing) Tiananmen Square. Troops were used to clear the square despite repeated assurances from Chinese politicians that there would be no violence. It has been suggested that the Communist leader Deng Xiaoping personally ordered their deployment as a way of shoring up his leadership. Hundreds, and possibly thousands, of people were killed in the massacre, although it is unlikely a precise number will ever be known.