Ann: Employee Options, page-16

This isn't about .26 of 1c it is about .26 of $1 or 100 cents

Keep in mind they are talking about an exercise price of 2.6 cents; that is very clear from the 10 day weighted average statement. .26 of 1 cent is about a quarter of 1 cent and isn't even remotely close to the 10 day weighted average.

A lesson in decimal fractions.....

abcd.efg represents a fraction where:

a=a*1,000
b=b*100
c=c*10
d=d*1
e=e/10
f=f/100

Therefore the amount $5,353.42 represents

5 units in the 1000 column or 5 x 1000 = 5000
3 units in the 100 column or 3 x 100 = 300
5 units in the 10 column or 5 x 10 = 50
3 units in the 1 column or 3 x 1 = 3
4 units in the 1/10 column or 4/10 = .4
2 units in the 1/100 column or 2/100 = .02

We then add all of the results of each column, giving us

5000
0300
0050
0003
0000.4
0000.02
----------
5353.42

So in this case the column e represents 1/10 of $1
Following on then column f represents 1/100 of $1

So using the above format the amount of 2.6cents would be represented as 0000.026 or more simply .026
To clarify; $12.25 demonstrates the placement of 25 cents in the appropriate columns
Now if we extend that to fractions of a cent and call it $12 and 25.5 cents we would write it as $12.255
likewise ten dollars and twenty two point six cents would be written as $10.226
Subtract $10.20 from $10.226 and you are left with .026 or 2.6 cents.