WASHINGTON, Feb 16 (Reuters) - Henry Silverman, the chief executive at Cendant Corp (NYSE:CD - news), said Tuesday in a Securities and Exchange Commission filing that his stake in the franchise and marketing company fell to 2.5 percent from 5.5 percent.
The reduction did not result from any sale of shares.
A company spokesman explained that Silverman had 8.5 million stock options, or 33 percent, revoked as part of a stock option restructuring plan announced in September by Parsippany, N.J.-based Cendant, which markets and franchises brand names like Century 21 and Ramada.
And 17.2 million of Silverman's options became ''unvested'' and those options will vest at 25 percent per year through 2000, spokesman Elliot Bloom said.
Cendant said in September it was restructuring senior managers' stock options in the wake of the sharp sell-off of its shares sparked by revelations last spring of possible accounting irregularities.
It canceled about 15 million stock options, re-priced two other group of options -- one a 20 million piece above market value and the other 25 million options at fair market value.
In his latest 13G regulatory filing, Silverman, who is also Cendant's chairman and president, said he held 20,486,622 common shares, or 2.54 percent, compared to the 46,300,002 shares, or 5.5 percent, he reported in an April filing.
''Only vested options, or options that vest within 60 days of the 13G filing, are counted or reported as shares owned,'' Cendant spokesman Bloom explained. ''Hence, that's why his ownership went from 5.5 to 2.5 percent.''
He added that Silverman hasn't sold shares ''in over a year.''
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