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Private Company Stock Options: Determining Fair Market Value in ...

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Modifications and Extensions<br />

• Any modification of an “<strong>in</strong>-the-money”<br />

option, other than an extension of term,<br />

is treated as new grant<br />

• If option term is extended, the option is<br />

treated as hav<strong>in</strong>g a deferral from the<br />

date of grant<br />

22

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