Broadcom announced a voluntary stock option exchange for its employees as means to retain and provide an incentive to key employees. Under the program, eligible employees holding options to purchase Broadcom common stock with exercise prices per share of $23.58 or more will be given the opportunity to exchange those options for a number of new shares or new options based on certain formulas. In general, the higher the exercise price of the old options, the fewer new shares that will be issued and the fewer new options that will be granted. In connection with the offer, Broadcom expects to incur an estimated non-cash charge of up to approximately $238 million in the quarter ending 30-June-2003. The actual amount of the charge will depend upon the actual number of eligible options tendered and accepted for exchange for new shares and new options. Additional terms are posted online.
http://www.broadcom.com
- Broadcom (Nasdaq: BRCM) shares closed at $13.49 on 07-April-2003, up 2.7% for the day.
