Eisner's 2003 bonus......

[KNWVIKING]

... was 6.25 mil in restricted stock. What is "restricted stock" ?

 

[manning]

When stock has limitations on it, it is said to be restricted.

One of the most common restrictions requires a certain length of time to pass or a certain goal to be achieved before the stock can be sold.

 

[WDSearcher]

Restricted stock is stock which is acquired though an employee stock option plan or other private means and which may not be transferred. Restricted stock may be forfeited if any of the SEC rules related to it are broken. SEC regulations concerning its purchase and resale generally result from affiliate ownership, M&A activity, and underwriting activity.

Clear as mud, right?

 

[manning]

Could this be the reason why Eisner took restricted stock over a stock option?



Generally, if the stock price is going up, stock options are a little better. You can sell both at the higher market value, but with stock options you have not had to commit to the purchase until the stock price reached the point at which you wished to sell.

However, if the stock price stays the same or goes down, restricted stock is better. Since you actually own the stock, it retains some value until the stock price goes to zero.

 

[hAm53]

hmmm . . . 6.25 mil. how many animators got fired a few weeks back?
Hey Mikey, how about we re-invest that cash back w/ the company. Oh wait, ABC Family's in great shape. Heck, they just had 87 straight hours of Step-By-Step. I'm waiting for them to announce Freaky Saturday; (a straight to video sequel like Cinderella II "Why does my suit smell like pumpkin?" and Lady and the Tramp II "All dogs go to the room at the back of the pound") where Jamie Lee Curtis switches places with her son after eating a magical burrito, only to discover just how hard it is for a 12 year old boy to become a man. Co-Staring Gibert Godfied as the wacky computer generated burrito and Wayne Newton, as himself.

~ Chris

 

[Luv2Roam]

http://www.bizjournals.com/orlando/stories/2004/01/26/daily24.html

Too bad it wasn't a final severance pkg.

 

[KNWVIKING]

Want a scary thought: Try to imagine what that number will be !?!?!?

 

[Planogirl]

Originally posted by KNWVIKING
Want a scary thought: Try to imagine what that number will be !?!?!?

Wow, that is mind-boggling considering some of the past severance packages. What would Eisner pay himself?

 

[wdw4us2]

Geez, another $7.3 million added to the $750 million he's already earned during his tenure, and the company is sliding down further each day he remains.

Does this make sense to anyone?

I don't care how much the stock went up in 2003, and I'm a stockholder! Short term gains will do nothing to help the long term future of the company!

 

[Bob O]

Thats a pretty big bonus for a company that only increased its earnings 2 cents per share last year. You can only imagine what his board of cronies will give him if they actually have a good year again.

 

[lodgelady]

Very interesting articles on this very subject on Roys' site