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To: Mary Cluney who wrote (55684)5/16/1998 8:58:00 AM
From: Francis Chow  Read Replies (2) | Respond to of 186894
 
<But, Investor Relations? You may have something there. This is where they may have over done the stock option thing when they haven't contributed commensurately over time.>

Also, if it's like most stock option plans, the shares are created
out of thin air - not drawn from a pool. This is like printing
money and dilutes the real value of existing shares. BTW, not
all employees get options equally - top management gets the lion's
share and they are also the ones who should be held accountable for
poor company performance.



To: Mary Cluney who wrote (55684)5/16/1998 10:44:00 AM
From: Jay  Respond to of 186894
 
Re "They are indeed an asset that grows over time and does not show up on the balance sheet in a direct way"

Do not show up on the balance sheet???!!

Someone said that the company has to spend $5 billion to honor the option grants. I don't know if this number shows up in the balance sheet, but it is still money owed.

BTW I am (as I believe you are too) a "knowledge worker".

Are the directors who are cashing in their multi-million$ grants also
knowledge workers?

Whatever happened to esprit de corp? Does everything have to be
done by mercenary workers? Did mercenaries ever win a war for
anyone?

I am not saying that options are a bad idea - rather that it
is unfair to stockholders for top management to enrich themselves
while the stock does nothing.