Replies to post #37348 on e.Digital Corporation (fka EDIG)

[JBocca9801]

Cassandra--

Please do not misunderstand...I did not say that they the optionee could choose how the option would be treated for tax purposes. Since the plan grants options as both ISO's and NQSO's, the options exercised in February of 2000 may have been granted as NQSO's.

You did not post proof to support your statement, rather your quote from the proxy supports what I have been stating:

"Other than incentive stock options granted under the 1994 Plan, all options granted under the 1994 Plan will be taxed as nonstatutory options."

The above is a common sense statement. Since the plan grants options as ISO's and NQSO's, if the options granted are not ISO's then they will be taxes as NQSO's. Seems simple enough.

Again, since the plan grants options as both ISO's and NQSO's, please support your position that the options exercised in February 2000 were granted as ISO's.

If you can't or won't support your position, simply say so and we can move on to issues that are not 3 years old.