Home Depot to expense stock options held by workers

Home Depot said Friday it will treat employee stock options as an expense, becoming the latest company to adopt the accounting practice amid calls for increased financial disclosure. <br> <br> The Atlanta-based home improvement retailer estimates that under current accounting rules, expensing options will reduce fiscal 2003 net income by two cents to three cents a share. <br> <br> Home Depot has said it expects fiscal 2003 earnings of a $1.57 a share. <br> <br> For the year ended February Third, Home Depot earned $3.04 billion, or a $1.29 a diluted share, on sales of $53.6 billion. <br> <br> A number of other companies, including General Electric, Coca-Cola and Computer Associates International have recently said that they would expense options. <br> <br> Booking the cost of stock options is seen by supporters as a key step to restore investor confidence in corporations. <br> <br> Under current accounting rules, companies aren&#39;t required to count the cost of stock options as an expense, but can choose to do so.

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