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AAPL » Topics » Market and regulatory developments may limit the Companys ability to use equity compensation to attract and retain key personnel.This excerpt taken from the AAPL 10-Q filed Jan 23, 2009. Market and regulatory developments may limit the Companys ability to use equity compensation to attract and retain key personnel. The Company has relied on equity awards as one means for recruiting and retaining this highly skilled talent. Accounting regulations requiring the expensing of stock options have resulted in increased stock-based compensation expense, which has caused the Company to reduce the number of stock-based awards issued to employees and could negatively impact the Companys ability to attract and retain key personnel. Additionally, significant adverse volatility in the Companys stock price could result in a stock options exercise price exceeding the underlying stocks market value or a significant deterioration in the value of restricted stock units granted, thus lessening the effectiveness of retaining employees through stock-based awards. There can be no assurance that the Company will continue to successfully attract and retain key personnel. |
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