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DRAFT


CRITA Postion on Stock Options

Technology entrepreneurs use stock options to attract and retain their employees. CRITA opposes legislation that would force companies to expense the granting of stock options. Such legislation would severely damage the ability of technology entrepreneurs to build and retain their workforce through granting stock options to their employees and would likely end the use of stock options except for the most senior executives.

CRITA recognizes that certain practices unrelated to the granting of stock options have raised concerns about corporate governance and the security of retirement plans. CRITA supports improved education of employees about the need to diversify their holdings in retirement plans and supports employers offering employees viable choices regarding investment options.