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.

Technology Stocks : NVIDIA Corporation (NVDA) -- Ignore unavailable to you. Want to Upgrade?

To: hoyasaxa who wrote (1165)	9/26/2002 2:54:12 PM
From: Labrador	Read Replies (1) \| Respond to of 2646

Talk about giving away company money. The company is going to pay employees for essentially worthless options. Issuing almost another 5 million shares. I certainly don't see the point in providing such a gift to employees. No wonder the shares are getting pounded. Nvidia to take charge for stock options swap Thursday September 26, 2:33 pm ET SANTA CLARA, Calif., Sept 26 (Reuters) - Graphics chip maker Nvidia Corp. (NasdaqNM:NVDA - News) said on Thursday it expects to take a charge of up to $66 million related to a employee stock option exchange offer. The company said it had approved an offer for employees to exchange outstanding stock options for company stock in an effort to retain staff and "better align their interests with stockholders." The move comes as shares of Nvidia, along with those of many other technology companies, have fallen precipitously over the year. In afternoon trading, shares of Nvidia were off 42 cents, or 4.5 percent, to $8.95 on Nasdaq. If all eligible options are exchanged, about 20.6 million options will be canceled and about 4.8 million shares of common stock will be issued, Nvidia said. Any stock option held by employees that have an exercise price equal to or greater than $27.00 can be exchanged under the offer for fully vested shares of company stock. The employee will get common stock with a value equal to the number of shares underlying the stock option, multiplied by $3.20.