InterDigital Inc (IDCC)

[artk]

EconEli, while I have not made up my mind about the Stock Incentive Program, I believe that there is some misinformation floating around on this board about the option strike prices and maybe you can help clear it up for me.

Correct me if I am wrong, but the "strike price" of the Incentive Options is usually set at the time they are issued to an employee, based on the current price. For example, if options were given to an employee today, they would not be $4 or $5 options, but $20 or more. I believe the only way options would issued at $4 and $5 in the future is if the share price goes back down to those levels again.

I believe that in the examples ST used, the options were issued when IDCC was well below 10, and that is a very reasonable assumption if you look at IDCC's historical price chart. Of course the options are worth significantly more money now, but if you look at the stock price and the strike price when they were originally issued, I believe you will find only a small difference.

thanks,

artk