- Hewlett-Packard Earnings Rise, Match Guidance
- HP Comes in As Expected; Is It Time to Buy?
- Why the Dollar Will Likely Stay Weak for Some Time
- Wall Street 'Bonuses' Disappear—but Only in Name
- Bear, Lehman Execs Weren't Wiped Out by Crisis: Study
- How Real Estate Investors Skew Housing's Reality
- Vioxx Showed Risk Signs Before Being Pulled: Report
- Group Asks Huntsman to Cease Operations in Iran
- Even Buffett's Huge Fame Can't Help the Name 'Warren'
- HP's Mark Hurd
- HP Comes in As Expected; Is It Time to Buy?
- 9 Stocks That Play Rising Water Costs: Strategists
- Weis' Deal Likely Won't Change Big Money Contracts
- Gold Prices Can Double in 3 Years: Portfolio Manager
- Nov. 23: Unusual Volume Leaders
- Help Wanted—Please Run $4 Billion University
- Apple Comes to AT&T's Rescue
- Rally Could 'Have Some Legs in 2010': Market Strategist
- Judge clears $583,000 Pontiac Silverdome sale
- Gladstone to create class of senior shares
- Concho Resources in $225 million drilling deal
- Freddie Mac says TBW losses 'could be significant'
- Earnings roundup: Tyson Foods, Inter Parfums
- Dynex buys Deutsche Bank share of joint venture
- Ball Corp. names Barker VP and controller
- Inter Parfums posts 3rd-quarter profit
- Stronger sales help Citi Trends posts 3Q profit
Text Size 
NATICK, Mass. - Cognex Corp., which makes mechanical vision sensors, on Monday announced a cash tender offer for some underwater stock options held by certain employees, officers and directors.
The company, based in Natick, Mass., could pay up to $9.6 million and incur a charge of $900,000 if all options are tendered and accepted. Stock options that are under water have no value to the holder because the exercise, or strike, price is higher than the current market value of the underlying stock.
CEO Robert Shillman said the company was making the offer to make up for the drop in the value of the options due to the ailing economy. He said the company's compensation is tilted toward options since it pays less salary and bonuses than competitors.
The options must have an exercise price of $23 or higher, which is 29 percent higher than the 52-week high before the start of the offer.
Cognex said there were about 5.3 million options eligible for the tender offer. If all those shares are tendered, the number of outstanding options would fall by 54 percent.
The offer is scheduled to expire Dec. 15.
Cognex shares fell 5 cents to $17.93 in after-hours trading Monday after closing at $17.98, up nearly 6 percent from a day earlier.
Print
Email
- The show attracts a big TV audience every year, but this year it may take on even more importance.
- …you'll want to be prepared. Tips for getting the most out of the post-Thanksgiving shopping frenzy.
- Congressman Ron Paul explains to Squawk Box why he’s pushing legislation to audit the Federal Reserve.
- CNBC’s Phil LeBeau took a test drive of GM’s flagship electric car. Here’s what he thought of the Volt.
- The energy company Power Efficiency is building tools that regulate the power electric motors use.
- CNBC’s technology reporter Jim Goldman guides you through the best gadgets to buy this holiday season.
Data is a real-time snapshot *Data is delayed at least 15 minutes