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Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: Boplicity who wrote (29382)	5/7/1999 9:24:00 AM
From: Michael Allard	Read Replies (1) \| Respond to of 152472

First of all, from what I have read - 70% of the 1700 employees held unvested options. That is 1190 Employees. On average, they held 1,000 shares worth, which had Exercise prices from $30 - $60 per share. I do not know what kind of sell restrictions are attached to these options, but typically, you have to wait a period of time (6 - 12 months) before you can sell them. So I'm not sure how this would work, but would not QCOM receive on average $45/share for 1,190,000 shares of stock? = $53,550,000 that QCOM would receive if all the empties exercised the options. Then the Market Place would pay the employees the premium of $171 per share, if and only if the stock was trading at that level on whatever dates the restriction allows the employee to sell. I understand that this would dilute the market cap of the stock by 200 Million, but should not effect the earnings.