1. Discuss the feasibility of Gerald's compensation agreement.
2. Discuss the company obiligation to Gerald for the $12 million in stock options. What course of action should the company take? Gerald?
3. What role did the decling stock price have on the company's inability to pay the stock options and how might the agreement been structured to avoid this situation?
4. Is the company obligated to make Gerald the CFO as promised when he accepted the Job? Explain.