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[Lockergnome Windows Daily]  Sticker Courtesy

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[Lockergnome Tech Specialist]  Friend Fry

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CNET NEWS.CONTEXT: Adios to options excess?

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<td align=right><font face="Arial, Helvetica" size="-2">July 18, 2002</font><br></td>
<img src="http://news.cnet.com/i/ne/pr/gr/prtease_cooper.gif" width="65" height="82" border="0" align="right"><b>Adios to options excess?</b><p>
<b>If the nation's politicians expect Silicon Valley to fall in line on the issue of expensing stock options, they're living in a fantasy world.</b>
Flipping through my Rolodex this past week, I couldn't find one solitary technology type willing to support even the mildest proposal to change how corporations account for stock options. The more common response was a verbal "middle finger" shouted in the general direction of Washington.
No surprises, there. The options argument is not just about putting food on the table--make that <i>a lot</i> of food, in some cases--but about the way the computer industry views itself. Tech companies believe they belong in a different category, say, from the likes of Coca Cola, Washington Post Co. and Bank One Corp.--all which recently decided to begin expensing stock options.
Tech titans also served notice they will remember to support friends--and shun foes--in Washington next November. An empty threat? Perhaps, but consider this: in the last national election, the computer industry contributed more than $40 million (52 percent to Democrats, 46 percent to Republicans.) That was good for a seventh place <a href="http://clickthru.online.com/Click?q=39-7QgMIjIiVpWATh6CGLs-y39w-_lR" >ranking</a>, according to the Center for Responsive Politics.
<a href="mailto:charles.cooper@cnet.com">Charlie Cooper</a>, Executive Editor/Commentary<br>
<b>Why the options party is over</b><br>
Transamerica Investment Management portfolio manager <b>Kenneth Broad</b> says
it's easy to see why the tech industry is fighting so hard to keep options from
being expensed: no one likes to lose a free lunch.</font><br>
<a name="h2"><b>We can handle CEO cheats</b></a><br>
The Bush administration has crafted its own proposals for dealing with excess and dishonesty in corporate life. Commerce Undersecretary <b>Phil Bond</b>, who spoke with CNET News.com, believes the President's plan is just the ticket to get executives to come clean.</font><br>
<a name="h3"><b>Why free downloads help, not hurt</b></a><br>
Recording artist <b>Janis Ian</b> throws down the gauntlet to the National Academy of Recording Arts & Sciences (home of the Grammy Awards) and the Recording Industry Association of America. Making the case for the salutary benefits of free digital downloads, she says the music industry is dancing to the wrong beat.</font><br>
<a name="h4"><b>A CTO's worst nightmare</b></a><br>
After the Sept. 11 terrorist attacks, anxious investors worried when the stock market's largest financial exchange would open again. New York Stock Exchange CTO <b>Roger Burkhardt</b> was on the job faster than a trader can say "buy." </font><br>
<a name="h5"><b>Fact and fiction in the Web services debate</b></a><br>
Sun versus Microsoft, Java versus .Net, McNealy versus Gates. Does it all really matter, Iona Technologies CEO <b>Barry Morris</b> asks, when it comes down to what users want. The future of Web services, Morris says, is being held hostage amid a fruitless debate over industry politics.</font><br>
<a name="h6"><b>Rewiring the FBI for the 21st century</b></a><br>
When it comes to the digital age, the FBI is stuck with tools left over from the old days. That's why the FBI is hoping for big things from its new CIO. <b>Darwin John</b> tells CNET News.com about his plans for revitalizing the Bureau's dated IT infrastructure. But this long-time outsider must first learn to navigate his way through the bureau's treacherous bureaucracy.</font><br>
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