Ann: Market Update, page-12

OriginallypostedbySniffSniff

Regardingtheloyaltyoptions.Surelytherewillbeaclausethatsharesmustremainheldinordertoexercisetheproportionatenumberofoptions?Otherwiseitwouldseemtomethatarunupwilloccurtowardstheoptionsissuedatefollowedbyamassexodusaspeopleseekafreerideonfreeoptions?Someonepleasepointoutthereasonthiswon'toccur...

There is a slightly elevated volatility that creeps in short term.
There is no mechanism built in to prevent a runup and dump afterwards.
The larger holders with the most exposure and options are long term holders, not selling.
You do need to understand that not everyone speculates on these options.
That the company benefits when the options are converted to shares and that is the point.
There is nothing holding you to the stock, you hold on a date to qualify, can redeem and sell shares and options thereafter.
RED