Replies to post #142075 on Wave Systems Corp. (fka WAVXQ)

[rachelelise]

Ramsey

The company could have given employees restricted stock and they would be in the same boat as us. Many are doing that today since options need to be expensed now. Many tech companies needed to address options well out of the money and it is a legitimate issue. However one must realize that the options would have paid off if the company had succeeded. So I would not be in a rush to replace all those options with new ones (at a market strike price). Sort of defeats the intent. A number of companies who did reprice or egrant options did it thoughtfully such as converting into a smaller number or offering a strike price above the current market price. That would be a legitimate desing for current employees who may be getting relacements.

Finally take a look at the excercises in 2000. Whenn I realized that the big three got millions of dollars from excercising options, I lost a lot of sympathy as well.

[RootOfTrust]

Correction on 250K grant:

The 2005 250K grant was pre-RS. Post-RS it's now 83,333.

[29tango]

Hi Ramsey2,

You stated:

"I wonder if everybody knows most of SKS's stake in the company is in the form of options that are about to expire unexercised?"

Do you consider this a reason to support this new options proposal?

Nothing has prevented SKS from buying stock in his company over the past 10 years just like us shareholders, or at least through the company's ESOP.

Many stockholder's shares are underwater just like SKS's options. There is no bailout in the company's proposal for shareholders, so why should there be one for management at shareholders expense?

In my opinion management needs to rethink this entire options proposal and come back with something rational.

Regards,

29tango

[UncleverName]

Ramsey,

I wonder if everybody knows most of SKS's stake in the company is in the form of options that are about to expire unexercised?

What are you reading? Are you looking at when the options vest? They are not exercisable until they vest.

The earliest expiration date for options that SKS holds is 3/1/2008 with a strike price of $3.30.

The Director options vest the day after they are granted, but the ones listed for the executives are spread over three years from the grant date. Only those still vesting are listed in the report with the footnotes. (Well, one was totally vested in January 2007.)

UncleverName

[wavxmaster]

Ramsey

Click on:

http://www.investorshub.com/boards/quotes.asp?ticker=WAVX&qm_page=549&qm_symbol=WAVX

Click on:

DEF 14A Official notification to shareholders of matters to be brought to a vote (Proxy) 42 04/18/07


Click on page 15:

Page 15: Outstanding Equity Awards at 2006 Fiscal Year-End

I hope this is what you're looking for!

Wavxmaster