For many years, companies have used stock option plans to attract and keep quality employees and to align employees' interests with those of shareholders.' Stock options give company employees the right to buy a certain number of shares of stock from the company at a predetermined exercise price for a limited period of time. The exercise price is usually at or above the market price of the company's stock at the time the option is issued.
Amanda K. Esquibel,
A Guide to Challenging Option Repricing,
San Diego L. Rev.
Available at: https://digital.sandiego.edu/sdlr/vol37/iss4/7