InterDigital Inc (IDCC)

[olddog967]

mickey: I don’t think you understand the math of the situation.

As I earlier posted as of 30 June 2016 there were 34.4 million shares outstanding. if a stock split(dividend) is declared it affects the currently outstanding shares, PLUS any additional shares that the company is obligated to issue under the terms of it’s RSU/Option awards, convertible debt securities, and warrants. As I posted, as of 30 June 2016, these instruments covered an additional 13 million shares. Since warrants covering approximately 4 million shares may have expired since 30 June 2016, that still leaves 9 million additional shares that must be taken into consideration.

34.4 million outstanding shares plus 9 million additional obligated shares equals 43.4 million shares. 43.4 shares x 2.5 stock split equals 108.5 million shares, which is more than the 100 million currently authorized.

So for a 2 1/2: 1 stock split IDCC's BOD would have to also vote for an increase in the number of authorized shares, which they apparently can do without shareholder approval.