InterDigital Inc (IDCC)

[Corp_Buyer]

OD- per IDCC "In 2004..InterDigital will recognize expenses of approximately $3 million and $4 million, respectively, related to the cash-based LTI and restricted stock units", so the RSU charge in 2004 was $4M and per Ronnie, if these RSUs vested over 2 years, then there is ANOTHER $4M charge in 2005 for the 2nd year of vesting from the 2004 grant, so in total for bonuses under the new plans we have $3M [cash] + $4M [1st year vesting in 2004] + $4M [2nd year vesting in 2005] = $11 MILLION TOTAL BONUS VALUE granted in 2004 !!!!???

Now if this $11M is for 100 people, then we have about ~$110K EACH and if that is about 50% average, then we have total SALARY average of $220K !!!??? [i.e. SALARY NOT INCLUDING BENEFITS]

BTW, these labor costs seem to tie out to the P&L if you make some reasonable assumptions about labor costs as a percentage of total expenses.

IMO, it seems our labor costs are EXCESSIVE and bonuses are FAR out of control.

TIA,
Corp_Buyer