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Technology Stocks : PSFT - Fiscal 1998 - Discussion for the next year
PSFT 0.00010000.0%Oct 29 5:00 PM EST

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To: Chuzzlewit who wrote (2097)9/3/1998 7:36:00 PM
From: LLCoolG  Read Replies (1) of 4509
 
Paul,

No, I understood your point completely. If PSFT is a great "Buy and Hold" as you proclaim, and that gyrations in price are insignificant in a mathematical sense, then who cares? If the stock comes back, the options will be worth more, hence the compensation is higher.

It should make no difference, as long as it appreciates in the five years after the option is granted. Any nervousness on the employees part concerning this issue would scare me to death as a shareholder. That means they are not convinced the stock will come back, or are just spoiled.

So why would a supposedly short term price decline bother anyone who is confident in the company's future?
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