ExpressJet pilots pass concessions

[granlistillo]

Don't have a dog in this fight, but I'd just like to point out that if the stock value is below his option price, then the options are worthless. The 650K in "cash compensation" is what's interesting to me. Exactly what performance metric earns that?

They are "out of the money", not necessarily worthless.

 

[SpiraMirabilis]

a real stock option is just that, an option to buy the stock at a specified price regardless of the market price of the stock. If the market price is lower than the option price then I don't expect anyone to excercise the options. However, so long as the option isn't expired he could use it later.
Some places give free stock be call it an option

 

[wheelsup]

Keep in mind too XJT stock did a reverse split so the options are worth 1/10 of what they used to be.

 

[kellwolf]

If I had stayed at SWA another 3 years as a ramper, I would have gotten stock "options." Those options woulda been free SWA stock given out as an incentive to sign the union contract that was renewed while I was there. "Option" does not necessarily mean you have the option to buy stock at $x.xx. Sometimes it means you get it for free. My wife gets stock options with Starbucks, but she has to buy them. Her options are she can buy the stock at the price it was 3 years ago. Unfortunately for us, the stock is trading for about half of what it was 3 years ago, so those options just sit there. If Starbucks was GIVING her the stock (like the SWA deal would have been for me), we'd be on it like white on rice.

 

[SlumTodd_Millionaire]

The difference is between regular old stock options and stock option grants. A grant just gives you the stock. Lots of executives receive these as part of their compensation package. I'm not sure what the XJT executives get, but if they received stock grants, then they are most certainly not worthless.

 

[granlistillo]

Keep in mind too XJT stock did a reverse split so the options are worth 1/10 of what they used to be.

No, that is not correct. The options track the underlying security and are adjusted accordingly.

 

[Cactus_Cutter]

I voted no. I wanted full pay 'til the last day, and I didn't care how soon that last day might have come.

Right On!

I didn’t West Coast Hoe and I didn’t want to be labeled by our industry as East Coast Hoes. I voted No!

Either way I maybe out of a job soon, but at least I did not sell out to others in the industry who fly more for less.