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 : Oracle Corporation (ORCL) -- Ignore unavailable to you. Want to Upgrade?

To: MeDroogies who wrote (18224)	7/21/2003 1:21:51 PM
From: Lizzie Tudor	Read Replies (2) \| Respond to of 19079

But I do question the corporate option culture Actually, I question it too. But I think the problem is at the top, that is my issue. Its more of a case by case basis. For example, if Apple never incented Steve Jobs to return, the company would be gone. So those options were well spent. Otoh, Computer Associates treats their company like their own personal piggy bank and I am against that. I don't want to throw the baby out with the bathwater which is why I am against options expensing. I worked in silicon valley in the 80s when there weren't many options and coincedentally or no, there wasn't much happening relative to the 90s. Deferred stock is far more quantifiable and, I think, I better arrangement for long term value and developing loyalty I like deferred stock. The only issue is whether this approach curtails options and we are back in the 80s mode of senior management getting these things and nobody else. Then you don't get any innovation and these US tech companies become identical to their counterparts in Europe or Asia, imho. Flat management is the key to innovation I think. You probably know Larry has always been willing to incent key engineering talent and I think that is why Oracle is where it is. Larry "bends the rules" when he wants a new team to develop something, he grants a lot of shares which other companies like IBM would never do because they have personnel policies to adhere to. WRT sebl, I don't want to make a judgement completely here because I think we might be looking at Sebl in the same tradition as yahoo 2 years ago. When things were at their bleakest, I mean. This psft mess is going to help sebl. Lets see where they are next year. I do know one thing though, sebl was a generous company wrt their employees, it wasn't just the top management, and they have been honest about it all along. So it is somewhat disingenuous for people to show up at their annual meetings to bash them on this options issue now, especially if they are not invested in sebl. The climate has kindof become something of a public lynch mentality and I don't appreciate it because I can see the level of foresight and competency most investors have wrt business just from being on these stock boards. If you let individual investors set priorities, pay, etc. for companies, it would be about a year and then the entire system would shut down.

To: MeDroogies who wrote (18224)	7/21/2003 1:48:11 PM
From: Lizzie Tudor	Read Replies (1) \| Respond to of 19079

forgot to mention something... Last year when some of the better strategic people were calling the mkt bottom in October (the NYT editor, for one) based on sentiment and other indicators, the one outstanding issue was "quality of earnings", stock options and the like which weren't factored into stock prices, and until they were some said the bottom wasn't in. The cool thing is watching the market correct this issue on its own, even me as a stock options advocate feel better about putting my money in the mkts with these issues being dealt with by the markets. Notice ebay is still going up with options but the non-growing companies are punished for them. Sebl being one, I'd say.