Apple has informed investors that due to the ongoing investigation into their options backdating problems, they may be removed from the Nasdaq‘s special “Global Select Market.” How select, you may ask? Well, a mere 1/3 of companies listed on the Nasdaq are privileged enough to make the cut. Wait, was that a typo? One-third ofContinue reading “Apple’s “select” listing on the Nasdaq in jeopardy”
Tag Archives: backdating
BlackBerry maker getting the probe on options backdating
The Ontario Securities Commission has launched a probe of Research In Motion’s stock option practices. An OSC spokesperson said the review was launched in early October, which is not long after the company announced it would have to restate past financials because of its options accounting. Another tech company is having difficulties with their optionsContinue reading “BlackBerry maker getting the probe on options backdating”
Loading springs and dodging bullets
Two terms, “spring-loading” and “bullet-dodging” have reminded me of the tendency in business to put a positive spin on negative practices. Spring-loading refers to the practice of granting options immediately before releasing good news that will likely increase the stock price, resulting in options that are not in the money technically when granted, but are,Continue reading “Loading springs and dodging bullets”
Novell investigating its options grants
Another tech company has announced it is conducting internal investigations into their options grant practices. This time it is Novell, a company known for its NetWare network operating system and more recently as a Linux company. Novell said its audit committee began the investigation because of news about irregularities in the way that dozens ofContinue reading “Novell investigating its options grants”
First options backdating investigation initiated by SEC
Brocade Communications Systems has become the first company to be formally investigated by the SEC regarding the recent options backdating issue. According to the SEC’s complaint document, which names three former executives of the company as plaintiffs, from 2000 through 2004 the company inflated net income by understating their options-related expense through fraudulent schemes toContinue reading “First options backdating investigation initiated by SEC”