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No,especially as its only about 1%.I feel there are far more important issues to be addressed at present such as those being discussed by the more mature members of this board.

The share dilution is interesting in one respect. We knew all about the issue for the purchase of Aquasol, but 2.3 million shares (approximately) are the exercise of options, for the benefit of staff.
It would be very interesting to know when these options expire and what is the exercise price. If they are dated for expiry very soon, then that is not interesting. If they are dated for expiry long into the future, why exercise them now? what is the price on them? At this sp then there is nothing to be made on turning them straight around. Even if they were issued at 2p then the most that could be made is about 60000 before taxes and costs.
if the one exercising them expects bad news, that may be all they would hope to make.
I would love to know that exercise price and date.
Alan

alan

the options, could they be part of the redundency packages.

Very possibly, Jim. Its a good point you make.
I would still like to know who has exercised them, for whom and at what price, as I feel it odd that options are exercised when the sp is at its lowest ebb and the future looks very unclear.
I can make a case for exercising them and flogging them on quick if there is a major problem and the future is bleak. I can't make a case for exercising them if good news is around the corner, unless they are about to lapse.
Infuriating that we do not know.
Alan

I think it's, we giving you a generous number of share options as part of your redundency package, but cannot cash them in for a year. (Keeps cash in the bank).

Alan,

The notes to the Annual Accounts to Oct05 lists the various EMI options. They are exercisable at various dates. The "start" date of the various options is Oct 04,05,07,08 and Dec07, Jan08, Feb08 and July08.
The first expiry date is Oct 2011 so there is no attempt to beat a deadline.

There is Benefits in Kind tax to be paid on taking up options based on the difference between the exercise price and Market price. - if exceeding 30,000. This tax has to be paid within a month from the employees own resources. This is why Directors often sell half shares taken up under an Option. They then have the remaining shares "for free".

By taking them up now they would be saving themselves Income Tax against if they take them up at a later date when the SP is far high. (when?).
There is a downside for them in that Capital Gains Tax starts to potentially run from the take up date and that would be from the lower value on the earlier take up date.

If staff are taking these up now it is presumably because they have confidence and want to lock in to them now to save Income Tax. They would certainly have been paying far more Income Tax if they had exercised their options a year ago so that they are doing it now looks like a good sign.

Although a dilution, they do pay cash to SEO for their shares so it is not a straight dilution. The value of the whole increases. Exercise prices of currently open options are 2.95p and 2.35p so it would be only half the aparent dilution.

There are other 'unapproved schemes' but the RNS does not seem to apply to those.

Thanks for that Tony.
i really should know all that and it should just trip off my tongue, but I have got rusty over the years!!
I'll leave specualtion on what (if anything) we can read into it, to those better informed than I.
Alan

in my old company staff were given options when they joined to exercise at a certain price and a future date. The price was based either on a 3day average or a fixed price as per company rules/regualtions. So when any staff with option leave the company, they have to exercise their options. They can either buy these shares and hold on or offload it, without owning the shares and pocket the difference after deducting the taxes.
Now as the SP is at 5p, assuming that the options were issued around 8p upwards to these staff, the only option for the staff is to buy and hold. Unless the options has been issued between 3-5p and they are taking their profits now, which is very unlikely.

So i am happy today that some employee has paid for their shares and are holding it for later gains.

Thanks for taking the time to discuss this point.
I appreciate as an 'immature' member my point counts for nil. but my 2p's worth is:
SNAFU. the shares will be part of a redundancy package with a caveat that they can't be excersised until sp hits say 10p or 1. LOL

On another note , my wife (who is her own 'man' -so to speak) made two large purchases of SEO today- neither of which showed up on screen? - it's as though no-one wants the sp high for a bit longer.

Alan,

Your bit..."Several weeks ago I posted that Asda were concerned over transportation issues".
I remember your post and also about the same time as reading such in the newspapers ( I think the Telegraph ) also mentioned Tesco considering the same.
It was a further indication that these companies know that green policies are what customers are starting to demand more and more.
If Green means more customers, more profit, thats what they will get.

The ASDA deal covers the U.K and Ireland so there must be a machine or machines installed in Eire as well. I know ASDA bought out Morrisons here in N.I. last year 11 stores if memory serves me right. They would hardly want to ship it all from the mainland. Does anyone know how many stores ASDA have in Great Britain and Ireland? The next fortnight is certainly going to be very busy if rollout is early September.

carefull, gary.
The rollout of Greenseal / Starpol is early in September, as far as I understand it, but that is not definite fact, as there has been no RNS.
The local farmers co-operative stuff is early September, but only as trials in some areas. It will be expensive to set up, so I doubt it would be pulled, but Asda classify it as a trial at the moment.
The coincidence of dates leads us to think there must be a connection, but the first GS / Starpol stuff will almost certainly be from a packager we all know very well, not a farm collective, though the naming of Yorkshire Fresh produce is another big hint.
But remember, much of this is a few well documented facts, a fair bit of research, the odd nod and wink from an insider and a whole lot of trying to fit the pieces together to make sense. The last bit we could be all very wide of the mark.
But for what its worth I was thinking of the same calculation you are evidently thinking of. Perhaps 4 stores = 1 machine?
;-)
Alan

Thanks Alan
As Boycott would say- a safe pair of hands.
You never tell us how many runs you score, or wickets taken! or if you have ever bowled a "maiden over!"
Cheers Gary

Taken from HMRC (www.hmrc.gov.uk/shareschemes/emi-new-guidance.htm):

This section explains the income tax and National Insurance contributions (NICs) treatment of EMI options. It includes details of charges that may arise when:

the option price is less than market value of the shares when they are granted
the shares under option are free, or
there is a disqualifying event.

Disqualifying events

A number of changes or developments can disqualify an option from EMI relief. These are called disqualifying events. A disqualifying event restricts tax relief.

The following are disqualifying events:

loss of independence
the company no longer meets the trading activities requirement
the employee is no longer eligible
changes to the terms of the option
alteration to the share capital of the company
a conversion of shares or
grant of a CSOP option that takes the option holder over the 100,000 limit.

The employee is no longer eligible

There will be a disqualifying event if an employee who has been granted the EMI option no longer meets the employment requirements set out. There will also be a disqualifying event if the hours committed are not actually worked. (S535 ITEPA 2003).

Example

Disqualifying event tax charge where option is granted at market value

A is granted an option to acquire 1,000 shares.
The market value of each share at the date of grant is 5. The exercise price is 5.
The market value of a share immediately before a disqualifying event is 9.
The market value on the date of exercise is 25.
The taxable amount is limited to the growth in value after the disqualifying event (25 - 9) x 1,000 = 16,000.

Al or anyone
Just got back the sp hasnt moved much so the news couldnt have been that exciting, can you fill me in one sentence with out me falling asleep reading all the previous, cheers.

no, driver, you've got to read all the previous posts. :)

I did warn you.

Beunos Dias, Driver.
Lots and lots of fighting (always good to wind away the hours) and we won at cricket (I scored 26, gary).
Oh and SEO.
Share issue (Aquasol consideration) and 2.3million options purchased.
terry Robbins gone.
Several sources confirm GS machine in a large north west salad producer and Yorkshire Fresh Produce and perhaps one other and that Asda will be stocking GS slads from early September. Asda management appear more switched on to Starpol than GS. Asda management have announced that produce from UK farms will no longer be collected from individual farms and centrally packaged and distributed, but small groups of 3 or 4 farms will collect themselves to one farm, where they will package and deliver directly to local stores to cut down on road miles.
Other news;
I'm an arse with a fertile imagination and we have a new king. A local paper boy who pulled a sword from a stone or something. No big deal that. Find me the guy who put a sword in a stone. That is king material.
Welcome back.
Alan

Tweenie I wasn't referring to you but those other Muppets.For what its worth I have a feeling this could be a buying opportunity now,just a gut feel,wouldn't want to miss out.

Just browsing the SEO website and the biodegradable airbag page is unavailable. Just a note to say it is being upgraded.
Anyone know if it has been this way for ages (as is SEO's way) or is it recent?
Alan