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Broadcom Options Costs to Double

Broadcom Corp.’s stocks options bill has doubled to at least $1.5 billion, the Irvine chipmaker said Friday.

The company’s audit committee said it has found additional questionable option grants that could double restatement expenses from the $750 million found in July.

The expense “could be substantially more depending upon the resolution of certain accounting issues,” Broadcom said.

The latest questionable grants were made from 1998 to 2003. As a result, the company said it plans to restate results for two more years, 1998 and 1999.

Earlier, Broadcom said it was looking to restate results for 2000 through part of 2006.

The company said its probe continues and can’t say when it will be done.

In June, the Securities and Exchange Commission asked Broadcom for documents relating to the chipmaker’s granting of options.

Broadcom is one of several companies to come under scrutiny for the timing of options grants.

At issue is whether companies picked low points for their stocks to award options, giving an immediate gain on them.

Most of Broadcom’s grants in question never were excersized because the company’s shares fell below the grant price during the tech downturn, the company said.

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