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To: hueyone who wrote (417)	8/20/2002 5:54:05 PM
From: Uncle Frank	Read Replies (2) of 562

>> If stock options are worthless when granted, why did people accept them in lieu of cash for all kinds of services or products rendered during the bubble---painting houses, rent payments, for legal services, etcetera. They gambled that they would be valuable in the future. They lost on that gamble, since options with Bubble era strike prices aren't worth the paper they were printed on. >> according to Buffet, the day an employee receives an option, he can engage in various market maneuvers that will deliver him immediate cash, even if the market price of his company's stock is below the option's exercise price It would be interesting to hear a few examples, Huey. I can't imagine how one could profit from a non-transferrable underwater option. >> Did you read the article by Dr. Pacter? I did not, but there are qualified experts on both sides of the debate that hold diametrically opposed opinions. Regards, uf

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