Of these 3-4 million shares they are planning to give away to the bum employess that came in late after some engineer developed the products, what percentage will be going to shareholders that already own 80 percent of the shares outstanding?
Well I hope not to see BLTI go down the AAPL or the route of the 100s of junk tech stocks that have returned nothing for stockholders while they generate increasing profits every year.
Steve Jobs gives away options to himself and his buddies all the time. It is a way to rip off small stockholders and the index funds. They have to buy it because it is an index, market cap goes up 20 percent a year, while earnings per share go up 0-5-10 percent if at all.
The engineers developed the products on the stockholders dime. Most of the management and salemans are lackies. Why didn't they invest in BLTI in its infancy? I would fire them now while you have the chance! The types like first responder to my original message should be fired ASAP they are crooks. I would be willing to bet most of these stock options are going to the friends of management. I would be willing to bet most of the workers are illegals from Asia or south of the border too.
As for people leaving a company to get 1/4th pay plus options. That is the problem!
First let me say that I voted no to that prop on the proxy. Second let me say why: the stock hs not performed nearly as well as it could have given the cirumstances, and I thought that 3 million was enough for this year, I also did not want them granting even more shares at this low level- nothing like rewarding them (at least a litte) to get the stock price low. My opinion is grant them new options at 20. SO giving them a million more of this low float stock that is underperforming, "no way" was MO. Now if we were voting to give them the first few million options- shit yeah. they are doing great building this company. But another million? BTW the diluted share count goes up by 1 million not 3 or 4.
On the other hand, these guys work hard and from my conversation with Grant COO on Friday, they live and breathe this company. He was blunt: Jones works for a few hundred thousand. Jorgensen works for 1/3 to 1/2 what he did at Needham (my guess he said "a lot less")and options is why. And fairly, this gives them the opportunity to get rewarded very very handsomely if they perform. If you prefer to have cash only salaries then prepare to pay them 250-1,000,000 plus sales bonuses, or get some lackeys to do the job half way. Or invest with foreign companies that don't pay in "packages" cause that's the way America works. GO for the brass ring and the 100,000,000 net worth. Now expensing options, thats a whole other ballgame and one that will be the topic du jour coming real soon.