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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: DRBES who wrote (26113)	11/24/1997 12:38:00 AM
From: carl a. mehr	Read Replies (3) \| Respond to of 1587923

DRBES and all, CEO Jerry Sanders pay package. A must read for suffering AMD share holders: slate.com a small excerpt: Besides being dramatically overpaid, Jerry Sanders has also engaged repeatedly in perhaps the most insidious of pay-world practices. He has re-priced his previously granted stock options. On Aug. 24, 1984, AMD's stock peaked at $41.125 per share. Then it began an agonizing slide during the next six years, reaching a low of $3.50 in October 1990. A stock progression like this is not typically kind to your average option holder. But Sanders managed to get his ever compliant board to permit him (and others, too) to convert their previously granted option shares to new ones. The price they were required to pay to exercise the new options was cut to whatever the market price happened to be at the time. This re-pricing activity occurred six times over six years, including twice in one year. (And remember, an option is supposed to reward an executive if his company's stock rises--not to insure him against losses if it slumps.) ÿÿÿÿÿÿ After the smoke cleared, Jerry Sanders was holding re-priced options with an exercise price of $4.25 per share. When his company's stock subsequently soared to the mid-20s about 15 months later, he cleaned up with some $50 million in option gains--and all this notwithstanding that the market price was still only about half of what it was many years earlier. >>> Yes Sanders is a slick one. Why don't you sufferers take him to court? Answer: There is no law in this country. Money always wins! best regards, humble carl