Intel rescues drowning employees
AS THE CHIP INDUSTRY SINKS FASTER THAN THE TITANIC, Intel has decided to send a lifeboat to employees, announcing a revamp of its staff compensation plan including a freeze on top executive salaries and an exchange of 'underwater' stock options.
In a federal filing of its proxy statement with the SEC today, Chipzilla said it would exchange all but senior executives' 'underwater' stock options for options with a lower exercise price. In other words, give employees a bit of a boost despite the fact the stock market – and the firm itself – is not looking so hot right now. Around 87 per cent of Intel employees hold stock options and Chipzilla reckons over 99 per cent of its currently outstanding employee options are under water.
