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

To: Dave Budde who wrote (179944)	12/17/2004 5:50:39 PM
From: Amy J	Read Replies (1) \| Respond to of 186894

Dave, that's a good point. I hope Intel does, because many of us are accustomed to looking at it this way. My biggest concern is an earnings figure that is understated due to underwater options. And then not making an investment due to this mistake. So the availability of the old method has value to me. Wonder what method will be used to expense the options. Regards, Amy J

To: Dave Budde who wrote (179944)	12/17/2004 6:05:09 PM
From: The Duke of URL©	Read Replies (1) \| Respond to of 186894

"earnings would have been if they didn't have to expense options." No Change. Earnings or rather Retained Earnings will have already been adjusted. Although employee options are not presently deductable against current income and loss, they do affect Retained Earnings. I have not read the current opine by the FASB or whoever it is, because I am frankly bored with the lack of understanding of the area and the emotional pleas for motherhood. BUT it will probably read that the SAME adjustment that used to be made to Retained Earnings, will now be made to current earnings. WHEN WILL THE GREAT UNWASHED REALIZE IT IS NOT HOW OPTIONS ARE ACCOUNTED FOR, BUT WHAT ARE THEY GIVEN FOR, that is the only important thing. Incidentally, as near as I can eyeball, Intel has spent about 3 Bill a year for the last 5 years on redemptions. 15 Billion. The out standing stock during this time has decreased by about 300 Million shares. This is not all option money because some of the stock may have been used to acquire companies or options used to buy out controlling persons of acquired companies.