With the company’s stock trading at less than 40 cents, the options at an exercise price of $4.72 per share weren’t worth much, if anything, anyway.
According to an SEC filing, Sirius XM CEO Mel Karmazin voluntarily forfeited 30,000 options with the $4.72 exercise price. 24,000 were already vested and the other 6,000 were not. The non-qualified options had been awarded on November 18, 2004, the day that Karmazin was hired to head what was then Sirius Satellite Radio.
Because Karmazin has forfeited the options, the underlying shares are now available for grants under the company’s long-term stock incentive plan for employees.