i respect your your view and a understand these options are not a free allocation, reaching the KPI's will positively affect TIS, however my capital has been tied up for many years and options have been allocated and approved upon many occasions. Our CEO has drawn a salary which may not align with competitors, but that doesn't make the competitors salary packages right..... (I am not here to bash around executive remuneration - in my own professional career I have KPIs which when hit are rewarded)
The 15% premium to the average SP over a 10 day period prior to the KPI being met is likely to ensure these options are 'in the money' upon the announcements - with the current SP, a move of a couple of cents will quickly provide this upside. I am sure upon successful CE approval there will be a re rating of TIS and I would be disappointed if we don't get a significant bounce in the SP - far more than 15%! With all the complexities of the last two years, the board, CEO and management team need to be accountable as many have discussed at length in this forum. I don't want to rehash these debates as I hope very shortly these will be a distant memory.
The KPI target is clearly appropriate and one that all shareholders want met, however would it not be more equitable to issue these options at a strike price which is the average share price say. ....... 5 days prior and 5 days after any successful KPI being met and after the announcement has been made within the market?
At the end of the day, as in my previous post I am all for rewarding successful leaders. In the interests of ensuring better outcomes, fairness and still provide rewards, I challenge the methodology for the calculation of these options and in particular the low hurdles for commencement of sales.
Happy for more ideas to be thrown around.........
TIS Price at posting:
40.0¢ Sentiment: Hold Disclosure: Held
