3 ms·
I would say that that’s exactly what’s happening. You pay employees with stock, but then you buy back your stock to inflate the price, financing the buybacks w
by fallingfrog 8y ago
I would say that that’s exactly what’s happening. You pay employees with stock, but then you buy back your stock to inflate the price, financing the buybacks with debt. The ceo gets a huge bonus, and then when the stock price crashes because the debt has to be repaid, the employees are left with a big pile of worthless stocks. The ceo flees with a golden parachute.