Delta Asks Court To Reject Employee Stock Options

Law360, New York (March 20, 2006, 12:00 AM EST) -- In a move to lop off any unnecessary costs weighing it down, Delta Air Lines Inc. asked a bankruptcy court Monday for permission to reject approximately 93 million stock options held by 70,000 current and former employees and directors.

Delta stated the stock options would provide little to no value if exercised, and claimed the cost to maintain and administer the options amounts to $305,000 each year, making it an excessive burden on the airline carrier.

The company’s motion said the proposal was backed by the...
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