TERMIUM Plus®

The Government of Canada’s terminology and linguistic data bank.

UNDERWATER OPTION [1 record]

Record 1 2002-01-18

English

Subject field(s)
  • Stock Exchange
CONT

With the stock market's downward slide, many employers are finding themselves caught in deep water on the issue of stock options. As companies' stocks dive, the employees they retained and lured with options are waking up to the fact that the current price of the stock has sunk below the exercise price of their options. In current parlance, those options are "underwater". . . . Some may, for instance, reprice their underwater options or cancel them and issue new ones.

CONT

By far, the best approach to dealing with underwater stock options is to educate and remind optionees that their stock options are a long-term compensation device and that the typical 10-year option term allows more than enough time for their options to come back to life.

Key term(s)
  • underwater stock

French

Domaine(s)
  • Bourse
DEF

Option dans laquelle la valeur des actions est inférieure à leur valeur originale, c'est-à-dire quand l'employé a hérité de l'action.

Spanish

Save record 1

Copyright notice for the TERMIUM Plus® data bank

© Public Services and Procurement Canada, 2024
TERMIUM Plus®, the Government of Canada's terminology and linguistic data bank
A product of the Translation Bureau

Features

Language Portal of Canada

Access a collection of Canadian resources on all aspects of English and French, including quizzes.

Writing tools

The Language Portal’s writing tools have a new look! Easy to consult, they give you access to a wealth of information that will help you write better in English and French.

Glossaries and vocabularies

Access Translation Bureau glossaries and vocabularies.

Date Modified: