Financial advisors and other professionals offering advice to
recipients of stock options may wish to consider our other book on this subject, Equity Compensation Strategies.
A recipient of a stock option or stock appreciation right will not have taxable income upon the grant of the stock option or stock appreciation right.
Not exact matches
Except as described below, awards under the 2014 Plan generally are not transferable by the
recipient other than by will or the laws
of descent and distribution, and
stock options and
stock appreciation rights are generally exercisable, during the
recipient's lifetime, only by the
recipient.
The view in designing and using OSUs was that they struck a balance between
stock options and RSUs; they are performance - based and present significant upside potential for superior
stock price performance while sharing some attributes
of traditional RSUs by offering some value to the
recipient, even if the
stock price declines over the three - year measurement period.
Each
stock option gives the
recipient the right to receive a number
of Shares upon exercise
of the
stock option and payment
of the
stock option exercise price, which other than for incentive
stock options, shall be the fair market value
of a Share on the
option grant date.
as to Shares deliverable on the exercise
of Options or
Stock Appreciation Rights, or in settlement
of Performance Units or Restricted
Stock Units, until the delivery (as evidenced by the appropriate entry on the books
of Walmart
of a duly authorized transfer agent
of Walmart)
of such Shares, give the
Recipient the right to vote, or receive dividends on, or exercise any other rights as a stockholder with respect to such Shares, notwithstanding the exercise (in the case
of Options or
Stock Appreciation Rights)
of the related Plan Award;
Upon exercising a non-qualified
stock option, the
recipient will recognize ordinary income in an amount equal to the difference between the fair market value on the date
of exercise
of the
stock acquired and the
stock option exercise price, and Walmart will be entitled to a deduction in the same amount.
Unless the administrator provides otherwise, our 2010 Plan generally does not allow for the transfer
of awards and only the
recipient of an
option or
stock appreciation right may exercise such an award during his or her lifetime.
We'd love to see at least the
option to forward emails to someone else (maybe by scrolling through a list
of a few preset
recipients), or fire back a
stock answer like «I'll reply when I'm back at my desk.»