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Frequently Asked Questions
  What is considered to be a "repricing"?
Identification Number 220
Generally, "repricing" means any of the following or any other action that has the same effect:
    • Lowering the strike price of an option after it is granted;
    • Any other action that is treated as a repricing under generally accepted accounting principles; or
    • Canceling an option at a time when its strike price exceeds the fair market value of the underlying stock, in exchange for another option, restricted stock, or other equity, unless the cancellation and exchange occurs in connection with a merger, acquisition, spin-off or other similar corporate transaction.
Publication Date*: 7/31/2012 Mailto Link Identification Number: 220
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