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Technology Stocks : Blank Check IPOs (SPACS) -- Ignore unavailable to you. Want to Upgrade?

To: RockyBalboa who wrote (1773)	5/20/2008 10:52:23 AM
From: Glenn Petersen	Respond to of 3862

Neither the press release nor the FAQ filed in an 8-K address the issue of the warrants. The FAQ does address the issue of the employee options: Q: What is going to happen to the existing Jazz stock options that I hold, both vested and unvested? Will this transaction change the vesting schedule for any of my options? Will there be a change in the exercise price for these options? A: Upon the closing of the merger, your existing stock options will remain in place and will be converted into options to acquire Tower stock. Each option to purchase one share of Jazz stock at a specified exercise price would become an option to purchase 1.8 ordinary shares of Tower. The vesting schedule for your options would remain unchanged. For example, options that were granted on 2/19/08 would continue to use 2/19/08 as the base period. The exercise price for your option would be whatever the exercise price was for your Jazz option divided by 1.8. As an example, if you have 200 options to acquire Jazz stock now and your exercise price is $3.27 per share, after the merger you would have 360 options to acquire Tower stock and your exercise price would be $1.82. As another example, if you have 300 options to acquire Jazz stock with an exercise price of $1.09, after the merger you would have 540 options to acquire Tower stock and your exercise price would be $0.606. Again, you would continue with the same grant date and vesting schedule. If the warrants are given equal treatment, the adjusted strike price will be $2.78. sec.gov