Say, for example, you represent a small business in negotiating a commercial lease that contains an option to renew that must be
exercised by a certain date.
Not exact matches
The
exercise price per share of each stock appreciation right may not be less than the fair market value of a Share on the
date of grant, except in
certain situations in which we are assuming or replacing stock appreciation rights granted
by another company that we are acquiring.
Provided, however, that an incentive stock option held
by a participant who owns more than 10 % of the total combined voting power of all classes of our stock, or of
certain of our parent or subsidiary corporations, may not have a term in excess of five years and must have an
exercise price of at least 110 % of the fair market value of our common stock on the grant
date.
All stock options and stock appreciation rights will have an
exercise price equal to at least the fair market value of our common stock on the
date the stock option or stock appreciation right is granted, except in
certain situations in which we are assuming or replacing options granted
by another company that we are acquiring.
Situations that would normally lead to a lease being classified as a finance lease include the following: the lease transfers ownership of the asset to the lessee
by the end of the lease term; the lessee has the option to purchase the asset at a price which is expected to be sufficiently lower than fair value at the
date the option becomes exercisable and that, at the inception of the lease, it is reasonably
certain that the option will be
exercised; the lease term is for the major part of the economic life of the asset, even if title is not transferred; at the inception of the lease, the present value of the minimum lease payments amounts to at least substantially all of the fair value of the leased asset, and; the lease assets are of a specialised nature such that only the lessee can use them without major modifications being made.
Likewise, the seller of call options is obligated to sell stock at a
certain price
by a
certain date if the buyer chooses to
exercise his right.
Likewise, the seller of a call option is obligated to sell stock at a
certain price
by a
certain date if the buyer chooses to
exercise his right.