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To: eyewatch who wrote (9711)3/30/2001 2:28:56 PM
From: nasdaqian  Read Replies (1) | Respond to of 9798
 
You're naive if you blame the employees for taking the stock down. In some cases that may be true, but mostly it's Mr. Market's fault. If anybody should shoulder blame it would be the Execs, not the grunts. Therefore, I think the employees should get repricing before execs do.

Aside: Why shouldn't employees be given stock options when a stock increases?

We can disagree but I believe that stock options are a retention method as well as an incentive. What will happen to the company if their skilled people start leaving? It will have major costs to acquire and train new employees and it would have to give the new folks options at or near market prices.

So, in the end your company will be worse off in many more ways than just repricing options. However, if you wish to punish employees that is your prerogative. I think you're just guaranteeing a lose-lose result.