uWink Inc. (UWKI)

[SOKAL6]

This argument doesn't make any sense to me. If they are being allowed to buy at a discount (i.e. 2/sh vs 2.50/sh) they are getting .5/share upside in ADDITION to the upside of out-of-money options that have a time premium associated with them.

I'll run a Black-Scholes-Merton European call option model if I get time later(Europeans are not exercisable until a specific date) to get the exact price (of course std. deviation I'll have to imply. I think .8 would be fair). For arguments sake I'll stick my thumb in the wind and value them at .30 cents. That means they are getting .80 better than market.

Their options would have nothing to do with selling at close or impacting the market price. The options are a "right to buy."

What you are talking about are written call options, which these are not.

Please let me know if I am not understanding something.