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April 18, 2004
The 90s Rule At Broadcom
Posted by Dana Blankenhorn
Not that there's anything wrong with that. (Image courtesy of Sony Pictures, which can afford the bandwidth.)
But speaking of choices, The New York Times reports that stock options are raining down over at Broadcom like back in that wonderful day.
The latest option plan before shareholders dilutes the company's value by a nifty 12.7%. Forget 2000, zero zero party over out of time. Broadcom's gonna party like it's 1999. Don't like it? Don't have a cow, man. Stock options are one of my Top 101 Reasons why the 90s ruled. (My 16-year old daughter loves the show, Seinfeld is their Reason #1, and who am I to argue?)
These options are Broadcom's choice. Approving them is their shareholders' choice. Everything I've seen indicates Broadcom makes good stuff, they work hard, and they compete like madmen.
But, as I said, approving this kind of plan is up to the shareholders.
Among the largest shareholders at Broadcom are Alliance Capital Management, with a 13.3 percent stake; Capital Research and Management, which runs the American Funds, with 6.6 percent of the shares outstanding; and Fidelity, with 2.1 percent.
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