Ann: Cancellation of options , page-5

Yes, you don't knock back cash.

This is an interesting cancellation though. I'm sure there is a story behind this but it sends a bad message for the company to prematurely allow/agree cancellation of an employees options which dont expire until mid year. It sends a message that no-one there believes we will attain the $2.10 share price by expiry. I agree, and maybe the employee cannot afford to exercise all three option parcels so he has given away his most expensive, but why cancel prematurely.
Anyway the guy has another 80,000 shares up his sleeve at a better exercise prices. Good luck to him.