InterDigital Inc (IDCC)

[loophole73]

DD

The sad part is that it has been allowed to go on so long. It is like turning a kid loose with a shotgun too early. He is hazard to others and also injures himself as he shoots because he is not skilled in the proper placement of the gun when shooting. It is a shame that the CPA's did not correct the problem on their own, but I would imagine that is because they received a few options in lieu of cash along the way. Getting the government to intervene is always a potentially dangerous game. This problem must be corrected without doing further damage to the market. Based on the general atmosphere, the prudent BOD's would not seek additional options. Some will and the shareholders should defeat negating the necessity of the dreaded government intervention. The CPA's and the BOD's should cease seeking new issues and create a fair plan to correct the past. Matters such as reasonable percentages, setting of strike prices and length of option periods could all be set in stone for guidance rather than doing away with the concept all together. If the matter cannot be resolved, then the street is going to have to adjust its multiples awarding process to prevent another 3 year bear market controlled by the shorts who have used these accounting glitches to the fullest. I am amazed and at the same time not surprised that any companies are seeking new options under the climate today until matters can be reasonably resolved.

MO
loop