Linear Contacted by IRS over Stock Options

By Jessica Davis -- Electronic News, 9/8/2006

Linear Technology Corp. has received an "information document request" from the Internal Revenue Service (IRS) in relation to the company's stock options granting practices, according to wire service reports.

The analog semiconductor company told the AP and Dow Jones on Friday that it had received the request on Tuesday.

Linear said it is cooperating with the U.S. Securities and Exchange Commission (SEC), the IRS and the U.S. Department of Justice.

In June, the company said it had received an informal inquiry from the SEC, requesting information on the company's past stock-option grants. In addition, the company was also contacted by the U.S. Attorney's Office for the Northern District of California, requesting similar information.

The Milpitas, Calif.-based integrated circuits company has previously said that lawsuits had been filed against its board and some officers in relation to the stock options issues.

Linear is one of many companies experiencing increased scrutiny of its historical stock option dating practices.