SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Applied Materials No-Politics Thread (AMAT)
AMAT 249.89+3.1%Nov 26 3:59 PM EST

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Proud_Infidel who wrote (1450)7/10/2002 4:21:50 PM
From: Lizzie Tudor  Read Replies (2) of 25522
 
Am I the only one?..........................
in Techland who believes that options should be expensed?


The issue is how to expense them. Larry Ellison cashed out of 700mm in expiring options this last year. Those options were granted in 1991 when Oracle was on tentative footing. Despite the huge amount of the gain, I suspect most Oracle watchers would say its well worth it to compensate Larry for these 10 years, just look at what happened to Sybase who was winning against Oracle, then.

Anyway so how to expense 700mm? It is compensation for 10 years of prior work. I sure don't think its right to deduct it from earnings in the year of exercise. The expiration terms dictate he MUST exercise or lose it.
L
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext