Duke,
Just trying to figure, very conservatively, what the options for those guys are worth. At the money '05 leaps are going for ~$4 (probably way off on the option value, don't know a Black from a Schol, just using that number for arguments sake), so 7,248,000 new option grants would be worth ~$28,992,000 for just those 11 guys. Their current holdings, collectively, are 33,250,000 options. Thats $133,000,000. 11 guys, average $12,090,909. And thats in addition to salary / bonus / retirement perks.
If these guys were growing profits at 20% year after year, there might be an argument for that level of compensation. But if there is any link between performance and pay at Intel, then their compensation should be cut by ~90%. There are plenty of good executives in the world struggling to get by on only a $500,000 per year salary. Are the Intel guys that "special"? Can't prove it by the stock price.
John |
