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Equity Incentive Or "Double-Edged Sword" &Nbsp; Reward The Past Or Inspire The Future?

2011/4/13 10:50:00 34

"Golden handcuffs"

stock right

The purpose of motivation is to allow operators to participate in business decisions, share profits and take the responsibilities of shareholders.

risk

Thus, diligently and conscientiously serving the long-term development of the company, whether for listed companies or investors, is a good thing, but this kind of "good" in the A share market has gradually changed flavor.

In recent years, in the implementation of equity incentive companies, Kodak electromechanical [20.01 -0.15% shares]1.03 yuan or the lowest price of A shares, Lu Tai A[10.22 -0.49% shares], Donghua energy [10.40 -0.67% shares], ropes gold [15.08 -0.98% shares] the exercise price discount rate is also as high as 50%.

Market participants believe that the low threshold of exercise will result in the distortion of the role of equity incentive, and the excess bonus will evolve into a disguised "red envelope".

1.03 yuan exercise price or the lowest record of A shares

1.03 yuan per share, the startling stock price is not the first.

Original stock

Price, but Kodak electromechanical fourth phase equity incentive exercise price.

From 2006, the draft of equity incentive was released. By the end of 2010, Kodak had experienced 4 dividends and 3 capital gains. The original 4.69 yuan equity incentive exercise price has been diluted to 1.03 yuan, which may create the lowest historical record of the A share price incentive exercise price.

Informed by the company's announcement recently, this is the fourth time that 21 managers of the company have exercised the option incentive.

According to the company's current stock price of 20.29 yuan, the last 8 million 703 thousand and 500 options of this equity incentive will bring about 170 million yuan of book profits to the 21 executives and core technicians.

With the completion of the last year's stock option incentive, the 21 company managers will get an astonishing 531 million yuan from the entire equity incentive plan.

It is interesting to note that since the draft of the equity incentive bill issued by Kodak in September 29, 2006, the company's share price has risen from more than 4.69 yuan a day, after several rounds of spin off and capital gains. At present, the stock price has reached 71 yuan or more than 15 times.

It is worth mentioning that in order to implement the 4 year equity incentive plan, the company generated an amortization cost of 73 million 27 thousand yuan in 2007~2011.

Cheap equity incentive has been very popular recently.

In fact, such a low index equity incentive scheme is very popular in the recent A share market.

Lu Tai announced on 9 March that the company intends to grant 14 million 400 thousand restricted shares to the incentive target in the way of directional issuance of new shares. The scope of equity incentive covers 351 directors of some directors, senior management personnel, core technical personnel and business backbone, and the price is awarded to 5.275 yuan per share.

With the stock price of 10.26 yuan per day, the discount rate of A is 48.58%.

At the same time, Donghua energy's recently announced equity incentive plan is a revised version of the proposed plan in late November last year, of which the growth rate of net profit in 2011 was raised from 20% to 26%. However, it is noteworthy that the crude oil price has reached nearly 110 US dollars at the time, and at the end of last year, it still fluctuated at 60 US dollars. This is the case for Donghua energy, which sells liquefied petroleum gas (LPG) as its main business.

For the most controversial exercise price, the scheme is still fixed at 6.04 yuan, compared with the closing price of 11.07 yuan on the day of the announcement, and the discount rate is as high as 45.44%.

In addition, Ropes Kim recently announced the equity incentive plan, the exercise price will be set at 7.36 yuan, compared to the closing price of 15.11 yuan, the discount rate as high as 51.29%.