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Technology Stocks : Dell Technologies Inc. -- Ignore unavailable to you. Want to Upgrade?


To: Chuzzlewit who wrote (96649)2/10/1999 11:28:00 AM
From: hsg  Respond to of 176387
 
thanks for the clarification. Sorry, I did not check the facts, and just went on an assumption. I actually wrote a paper on this once, as their are a lot of problems with options compensation (ie. lots of companies with aggressive buy back programs that are still increasing floats as options are exerecised...as you alluded to). anyways, thanks for setting me straight!!!

To: hsg (96641 )
From: Chuzzlewit
Wednesday, Feb 10 1999 12:46AM ET
Reply # of 96813

hsg, actually, the number of shares outstanding decreases each quarter. Dell has been
quite astute in funding options by selling put options. The repurchase of the shares
represents a tax-advantaged dividend to shareholders.

Now I'm no lover of stock options because their use tends to obscure the cost of labor
(particularly executive compensation), BUT get your facts straight. Each quarter the
number of shares of stock o/s decreases.

TTFN,
CTC

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