As discussed here, the amended complaint raised certain options springloading allegations, including the allegation that three Apple executives received a windfall when they were granted options to buy over 2 million shares the day before the announcement of a significant technology investment and other developments sent Apple’s shares up 48 percent.
The amended complaint also alleges that Jobs himself received backdated options that were later cancelled in exchange for restricted stock.
"Assuming this reader’s analysis is correct, this is a very important distinction.
The company will also delay filing its third quarter report.
Non-cash charges for stock-based compensation expense and additional tax-based costs “will be significantly greater” than an estimate contained in its March 1-Q, the company stated.
Incoming CEO will also see his options repriced downward and will have to let go of the value of certain options, with the two actions amounting to a drop in the value of past equity compensation worth 0 million.
Patrick Erlandson has resigned as CFO of United Health Group as part of sweeping compensation and governance changes announced by one of the largest companies to be caught up in the options backdating scandal.