Lets take a moment to review the activity since November 30, 2007. This was the day I was granted restricted shares in the firm for my year end bonus. Mind you that was only 5% of my 20% bonus so good for 1% of my annual compensation for 2007. Pretty immaterial in the grand scheme of things, but none the less...
I was granted these shares with a strike price $15 less than the closing price on Nov. 30th. So roughly $47/share. Today the firm projected a $2.8 Billion loss for fiscal 2nd quarter 2008 and the stock closed today at $29.48. This puts my shares roughly $17 underwater. Nice piece of annual compensation huh? They also plan on raising $6 Billion of new capital, further diluting the value of my shares. Very nice!
Anyway, the shares vest at 75% in 3 years and 100% in 5 years so no big deal if you are looking long term. Buying opportunity right?
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1 comment:
I like this comment from a post on that link you sent.
"Why own Lehman when you can buy a lottery ticket?"
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