Pray,
You know how options work buddy...nothing is given for free.
If you are awarded options you have to pay the exercise price of (.50) which is the price of the stock when awarded. These options vest monthly for 48 months. They don't expire until 2025. Option awards are insanely valuable compensation for several reasons.
1) They are risk free: they don't expire until 2025...they always only cost .50 to buy once vested. If the stock has a PPS of $20 in 2020, they still only have to pay .50 per share and immediately earn $19.50 per share in value and can realize that gain if they decide to sell the stock on the open market. It is a huge incentive for executives to get the PPS to move higher so that their options are worth much more when they want to exercise them. If the stock tanks below the exercise price, then they will obviously never buy them...hence No Gain, but No Loss...risk free....
2) yes, when options are exercised they become real shares of stock and increases the O/S. Hence Dilution. This is how options work. They compensate employees vs using company cash. The employees are motivated to get the stock price as high as possible so that their stock options are worth more when they exercise them and then eventually when they sell them on the open market for profit.
That's how it works in a nutshell....hope that helps a little
RR
News 
Market Data 
Discover 
