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Non-Tech : Costco, slow but sure? -- Ignore unavailable to you. Want to Upgrade?

To: dale w ruckle who wrote (756)	11/5/1998 9:16:00 PM
From: Kevin Podsiadlik	Respond to of 1147

So what effect will a buyback have on the prospects of a split?? The Gap recently announced a split and a buyback at the same time. One does not preclude the other.

To: dale w ruckle who wrote (756)	11/5/1998 9:40:00 PM
From: Curbstone	Read Replies (1) \| Respond to of 1147

Net effect zero. The offer was to buy a dollar amount back not a specific number of shares. Their $550M would just buy twice as many shares as it will today. The only downside I can see is that announcing a buyback usually causes a short-term boost in price and so does the announcement of a split (generally) so doing both would serve to make their repurchase plan a little more expensive. Less shares for money, but those shares are going up in value so I guess we're back to zero. Help this hopes. :-)