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To: hueyone who wrote (5992)6/11/2002 12:58:46 AM
From: Lizzie Tudor  Read Replies (2) | Respond to of 6974
 
Thanks for the informative reply, Hueyone. I agree with many of the points made here about options, and have no real problem with expensing options, unless- 1) the "expense" method causes the overall option pool to be diminished significantly - some market research might be due here, and 2) expensing doesn't actually overstate the expense of options to the company - this I'm not sure about.

The gov't has a difficult time with treatment of options/equity from a tax standpoint already and I'm just afraid they are going to screw things up again, like they did in the mid-90s when they made employees pay income tax at option exercise. Some grandstanding politician probably came up with this as a way to "soak the rich". Thats what happens with the options issue, no objectivity - they think they're getting Tom or Larry and really all they're doing is hurting some mid-level engineers.
L