re: 401k question

quote:

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Lucent was an AT&T spinoff.

Many folks in Shreveport worked for them and put most or all of their 401k in company stock. The company actually counseled employees to diversify, but employees wanted to ride the hot rocket.

At first, they looked like geniuses:

quote:
In only six years its stock price rose from $7.56 per share to a high of $84 after multiple stock splits, and then crashed to a 2002 low of 56 cents.

Individuals’ company 401Ks sank to near worthlessness ... Retirees had to go back to work. Unexercised stock options became wallpaper.

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My now ex BIL did the same in Ohio. He was all proud back in the hey day. Now he ended up having to find a job to make ends meet at a Home Depot.