Silicon Investor (SI) -- The First Internet Community

STOCKTALK

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.

Non-Tech : Bill Wexler's Dog Pound -- Ignore unavailable to you. Want to Upgrade?

To: RockyBalboa who wrote (5246)	12/4/1999 1:35:00 PM
From: DanZ	Respond to of 10293

Infostream, I have tried to find a description of the options being exercised in Gum Tech's SEC filings, but it is a tedious task. I suspect, but I don't know for sure, that some of the options being exercised will expire soon. If that is the case, then they have to be exercised or the holders will lose their value. People who are close to the holders of those options have told me that they aren't in a hurry to sell their stock. Obviously there's no way to know this for sure, but the bottom line is that it isn't safe to assume that anybody who exercises an option will sell their shares. Some people might sell part of their holdings to pay the company for the stock and to pay their taxes. As GUMM trades higher, more options that are due to expire and are in the money will be exercised. I have accounted for this by increasing the expected number of shares outstanding in my earnings estimates. Regards, Dan