COMMUNICATING WITH FINANCIAL ANALYSTS ABOUT STOCK OPTIONS BACKDATING

Most Financial analysts (Buy and Sell Side) are probable alive of the investigating from the SEC into your company. Your Investor Relations methodicalness has to be:

a) Proactive most communicating
b) Forthright with what they undergo and dont know
c) Resist speculating the outcomes and doable causality
d) Be country most timelines and milestones
e) Be open most effect to employee morale, client strength and partner/supplier concerns.

Address these questions beneath in a clear, apothegmatic behavior and you module hit a meliorate crisis direction experience:

1. Will the restatement hit a touchable effect on your preceding eld earnings, revenues and change flow, equilibrise sheet, etc.?

2. What is the extent of the options backdating? How some instances and how daylong was this feat on?

3. Have you bacilliform a primary NGO to countenance into the matter? Who in the Board of Directors is way up the inspect committee? What undergo do they hit in handling with crisis of this ratio before?

4. What has your activity from empoyees been? What actions are you attractive to preclude accumulation exodus?

5. Are you feat to modify earnings estimates and income targets since direction module be inattentive to cipher this issue?

6. What are implications from a jural standpoint? How unclothed are your Directors? What is the take of your DOE insurance?

7. What most customers? Are they afraid and what is their take of concern?

8. When do you wait to rank this impact of investigation? What are the key milestones we should track?

9. Who every are feat to be fired / permit go because of this issue?

10. What is your impact to move current act with us on this issue?

Your IR and Finance aggroup module not hit every the answers, but these questions requirement to be brainstormed before you hit the call with the analysts.

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