Molly Miller, an Intel employee and shareholder, must decide whether to vote FOR or AGAINST Intel's projected 2009 option exchange program. Given recent declines in Intel's stock price, more than 99% of Intel's outstanding employee stock options are "underwater," and worker motivation and retention are serious concerns.
In the event the plan is approved by shareholders, Molly must decide whether to take part in the program and tender her employee stock options that are underwater. From both perspectives, Molly must evaluate the pros and cons of Intel's proposed exchange program as a shareholder and an employee. Additionally, she must consider Intel's proposal in light of the choice approaches pursued by other corporations that have recently confronted the problem of submerged employee stock options.
Underwater Engineer at Intel Corporation Case Study Solution
PUBLICATION DATE: November 22, 2011 PRODUCT #: 212047-HCB-ENG
This is just an excerpt. This case is about FINANCE & ACCOUNTING