Auto Business News-February 18, 2015--General Motors' CEO receives stock compensation
The following data are drawn from the study's key findings related to stock compensation
and stock ownership guidelines.
Net income excluding stock compensation
expense of $216,000 was $2.
Charges related to new standards for stock compensation
, however, ate into net earnings, the company said.
The employee contested the computed value of the stock compensation
and did not include the amount in income; the company took a deduction under the safe-harbor provision.
In response to requests from investors and many other parties to improve the current accounting standards relating to employee stock compensation
in financial statements, the Financial Accounting Standards Board has published an exposure draft, Share-Based Payment, an Amendment of FASB Statements No.
The change in stock compensation
means employees will automatically receive actual shares of Microsoft stock over time instead of options - the right to purchase stock at a set price.
Also mentioned: fair value measurement, accounting for employee stock compensation
, stock options and accounting for business combinations.
44, entitled Accounting for Certain Transactions Involving Stock Compensation
44, Accounting for Certain Transactions Involving Stock Compensation
, says that when a company directly or indirectly reprices its stock options it changes the terms of its stock compensation
plan under the opinion, making it a variable plan.
The Financial Accounting Standards Board's newest rule will send CEOs and CFOs scurrying to turn on their computers, while boards re-evaluate stock compensation
plans and shareholders attempt to interpret two sets of numbers.
The one-time non-cash charge announced last week should not have a negative impact on credit as Fitch Ratings generally excludes non-cash stock compensation
from EBITDA and leverage ratios.