Talisman Mining Ord Shs TLM

Stock Options

[cnaismit]

In a recent article Paul Kedrosky states " In principle, of course, stock options are a good idea. Employees need to have at least some of the same incentives as shareholders if you want them to act like shareholders. But there is a problem; democratized options have made companies profligate in their option-granting. At the same time, managers and employess are finding out that even a samll share price increase can be worth millions. The result? Instead of prodding managers to do a better job, stock options enable employees to become weathy at shareholders expense - even when the company underperforms its competitors. And, rather than bringing management and shareholders together, options have in many cases put the two groups at odds with one another." I think when you take a process (stock options) add human involvement (people), stir and not shake you get "Greed". Management not only gets high salaries and performance bonuses they cash in millions in options every year(at no cost to themselves). I wish I could put in for 10,000 shares and only pay for them when I decide to sell.