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Technology Stocks : Cisco Systems, Inc. (CSCO) -- Ignore unavailable to you. Want to Upgrade?


To: rkral who wrote (65448)5/13/2004 10:56:17 AM
From: Kirk ©  Read Replies (2) | Respond to of 77400
 
OT .. Kirk, re >>>I still think if everyone showed up at conference calls and asked the CEO and CFO this simple question
"If you did not have to buy back shares to prevent dilution by options, what dividend per share could you have paid shareholders with that cash?"<<<

The CEO and CFO might retort ...

"If we didn't compensate our employees with options, we would have to compensate them with additional cash in order to remain competitive in the labor market. Then how much cash do you think we'd have with which to pay the dividends you desire?"

-------------------------------------------------------

I'd reply:

"We are not getting any significant dividends now compared to the 2% you COULD pay. Thus the point is moot. BTW, since people at Intel and Cisco are working themselves sick to keep their jobs from being exported to India, do you really think they'd leave if they didn't get options or are you just trying to justify YOUR high compensation package on the shareholders dime?"



To: rkral who wrote (65448)5/13/2004 1:36:28 PM
From: RetiredNow  Respond to of 77400
 
rkral, shareholders would also reply: "What's wrong with cash compensation? Ask your employees whether they'd prefer a $20K bonus on top of their current bonuses or stock options. How many would take the stock options? 4 years ago, I'd say 100%, but now I'd say a heck of a lot fewer than 100%."