Microsoft options question

Discussion in 'Stocks' started by Mr Pain, May 12, 2009.

  1. Mr Pain

    Mr Pain

    I am working in a new office today with a fellow from the office I hadn’t worked with before this week. He is a coder and I am telling him some things I want and he is doing them on the spot. We are talking about a few things and he tells me he had worked for Microsoft from 81 – 86. I am blown away but he tells me he was a 1099 employee. Later we are talking about stocks and I tell him it’s a shame he wasn’t an employee of Microsoft and got stock options. He then tells me that in 86 he got 30000 or 3000 options but the strike price is something like $40 and he can’t exercise them till he is 65. He also says he saw the stock was up to $100 once but its not worth the $40 a share now. It is obvious he dosnt know anything about stocks or options.

    Well here is my question as I don’t know about options either but will ask, If stock splits does the value of your options split as well? I think a share in 1986 is worth 350 shares today. I haven’t ever done options.
  2. MTE


    Options are adjusted for stock splits so your friend should check with the company what the current terms of his options are.