InterDigital Inc (IDCC)

[intime]

Could Merritt have sold his 20k, in which he will pay long term capital gains, to purchase some of the 200,000+ vested options whereby he would be able to hold for more than 1 year and pay long term capital gains in the future. Without selling the 20k I don't know if he would have the cash to exercise some of his 200k+ options. That is the prudent approach when dealing with stock options from a tax perspective. Don't be surprised to learn that Merritt purchased some of his vested options at these prices to minimize alternative minimum taxes.