|
|
Article: GM to Expense Employee Stock Options
- Article from:
- AP Online
- Article date:
- August 6, 2002
- Author:
CopyrightThis material is published under license from the Associated Press. All inquiries regarding rights should be directed to the Associated Press. (Hide copyright information)
|
00-00-0000
DETROIT (AP) _ General Motors Corp. will begin charging its stock options
as an expense against earnings beginning in January 2003, the automaker
said Tuesday.
GM will expense the fair-market value of options granted to employees
under guidelines of the Financial Accounting Standards Board, which
call for amortizing the expense of options over their vesting period.
The expected change would be about $85 million the first year. The
full cost of GM's annual option grants would grow to about $130 million,
or 24 cents per share, in the year 2005, the automaker said.
Other companies also have made the change to a stricter accounting
method for stock option reporting in the ...