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Technology Stocks : Wind River going up, up, up! -- Ignore unavailable to you. Want to Upgrade?

To: Michael Greene who wrote (3295)	6/21/1998 9:11:00 AM
From: Mike Milde	Respond to of 10309

How many employees will actually be able to take advantage of their stock options? I'm sure there are restrictions that require one to be at the company for several years, etc. Any idea? Mike

To: Michael Greene who wrote (3295)	6/22/1998 12:12:00 PM
From: Mark Brophy	Read Replies (1) \| Respond to of 10309

Re: Lost profits and FAS 123 You've chosen a topic that nobody cares to discuss. Anyone who owns Wind River isn't interested in accounting issues. If you're wondering where the profits disappeared, check out the insider trading page at biz.yahoo.com. The founders, CFO, CEO, and others have sold $12.9m of stock this year.

To: Michael Greene who wrote (3295)	6/22/1998 12:46:00 PM
From: Pirah Naman	Respond to of 10309

> This Pro Forma restatement lowers earnings by 0.40 per share, a hell of a difference from reported earnings. No kidding! And I took a look through several other company's annual reports - WIND had by far the largest effect due to the options. I'm wondering if I even read the paragraph correctly - they are saying that this is going to get WORSE in the future?!

To: Michael Greene who wrote (3295)	6/22/1998 3:03:00 PM
From: Snowshoe	Read Replies (2) \| Respond to of 10309

FAS 123 Pro Forma Disclosures If someone has time, it would be helpful to do a comparison between WIND and other software companies. The more companies included, the better. Greg

To: Michael Greene who wrote (3295)	6/22/1998 8:36:00 PM
From: peter grossman	Read Replies (1) \| Respond to of 10309

Michael, These options may be in lieu of salary, but if I understand it correctly, the total value would amount to $11.2 M (28M x .40). This amounts to $20, 000 - $30,000 per employee typically vested over four years. This seems like a reasonable incentive to me. more so because its value is measured by the same yardstick my investment is. It seems unfair to "account" as if it were earnings because they can be exercised only once. Most likely, 1/10 of the options (equivalent of .04 per share) would be exercised per year. And they are not paid out of operating earnings.