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Technology Stocks : Intel Corporation (INTC)
INTC 36.82+1.5%Dec 19 9:30 AM EST

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To: Proud_Infidel who wrote (172630)1/28/2003 8:30:18 PM
From: Saturn V  Read Replies (1) of 186894
 
Ref <Options, to a large measure in their current iteration, require no risk whatsoever on behalf of those receiving them. This is wrong in my view. ...It is also an insult during difficult times like to exercise options and sell the shares immediately. A slap in the face of all who have held on through the downturn or have even added to their positions>

Barret in this case did take a risk, and lost out like a lot of us. The options in question are ten years old. Most options are exercisable in a minimum of 1-5 years. So these options were exercisable at least five years ago. If Barret had exercised them 5 years ago and cashed out he would have made a much bigger bundle.

I dont think that Barret and Co have abused the options as at Enron and other places. Jerry Sanders routinely exercised all his option shares and dumped them within a year. He played the stock market cycle to a T, and did not have long term ownership in AMD stock. Barret and Co. have hung on for the long term thru outright ownership, and vested stock options, and thus their financial self-interests and those of the stockholders have been congruent.

A few years ago the compensations of various company managements were compared, and the compensation for Intel's top management was perceived to be relatively low, while for AMD it was blatantly high.

Unfortunately at times like these we are all looking for scapegoats and villains. Any manager making money of the company stock is resented.
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