Replies to post #100525 on InterDigital Inc (IDCC)

[georgebailey]

ellis: Since the arbitration will be over by May 31,and if the outcome is positive, this proxy battle won't get off the ground.

[Danny Detail]

ellismd .. You raise some good points that apply, unfortunately, to the managements of many companies. I'm willing to bet that there is a single management team in corporate America that thinks they are overpaid. Most, if not all, think they are underpaid. As you have pointed out, they also have the means to correct this inequity (in their minds) that doesn't require shareholder approval. Hopefully, the legislative and regulatory bodies over time will address these loopholes. Investors on this Board who share your views should write the SEC and their representatives in Congress to prod them to do just that.

However, a proxy battle singles out the company in question as being particularly egregious in terms of, in this case, COB compensation. It will almost certainly have a negative impact on the share price in the near term and very possibly in the long term. Therefore, it is not a step to be taking lightly or without a careful assessment of the pros and cons of such an effort. That is why I and others have asked Corp to provide the details of how Harry's replacement will offset the negative impact on the stock price to yield in the long run a higher stock price than if we just waited for NOK/SAM to be completed and the highly likely retirement of Harry. To date he has been unresponsive.

Regards,
Brad

[Hardball]

IF IDCC Would Get Paid for their IP Management Compensation wouldn't look so excessive.

While they're not getting paid, it looks as insane as Dick Grasso and Jack Welch's packages, though at least NYSE prospered under Grasso and GE did under Welch.

What I just don't get is why IDCC gets bullied, litigated to death, ends up taking pennies on the dollar time after time, and still ends up in more seemingly endless litigation?

The ERICY thing was SUPPOSED to end the majority of the litigation by establishing a rate, by showing that IDCC could prevail, by showing its IP was the real thing and totally valid, and vindicating all the "engine and transmission" and "essential IP" talk from management.

Instead it led to more litigtion, this NOK arb and ALL the related stuff, and now others are sitting on the sidelines waiting.

IDCC took pennies on the dollar from ERICY and apparently everyone took the message that IDCC can be forced to do so rather than others licensing up for the full amount owed IDCC just keeps getting screwed so far as I can tell.

Either management exagerrates (aka LIES) OR they're doing a lousy job in litigation and business.

Even those who license and pay don't seem to pay full price.

And yet QCOM keeps getting paid and so do others.

What gives?

So to me management and BOD compensation is excessive relative to results not to what might be expected. If IDCC lived up to the promises of management and BOD, their compensation would be fine. It hasn't and their compensation is excessive, almost tyco like.

[3GDollars]

Ellismd,

Agreed.

The majority of shareholders approved and applauded their compensation after the Nokia agreement in 1999. Of course, we were duped because they did not or could not divulge the extent of what they claimed as the framework for royalty payment past 2001.