Stock option backdating wall street journal
The Wall Street Journal won two Pulitzer Prizes, journalism's highest honor, for stories exposing the widespread practice of backdating stock-option awards and for international reporting on the strains produced by China's fast-growing economy.The Journal, published by Dow Jones & Co., won its first-ever prize in the public-service category.Knopf) MUSIC "Sound Grammar" by Ornette Coleman, recording released September 12, 2006.Special Citation -- John Coltrane Special Citation -- Ray Bradbury Hyperlinks in this Article: (1) RVBQLh M_20070223(2) ZN0Gns UXQG4Cg_20070223.html?The Pulitzer board recognized the Journal for "..creative and comprehensive probe into backdated stock options for business executives that triggered investigations, the ouster of top officials and widespread change in corporate America." The Journal's prize for international reporting recognized staff members for "sharply edged reports on the adverse impact of China's booming capitalism on conditions ranging from inequality to pollution." The series of stories -- by reporters James T.Areddy, 43; Andrew Browne, 48; Jason Dean, 33; Gordon Fairclough, 40; Mei Fong, 35; Shai Oster, 34; and Jane Spencer, 30 -- exposed the strain China's rapid development puts on its people and environment. Gordon Crovitz, executive vice president of Dow Jones and publisher of the Journal, "It's fitting that the Journal should be recognized for breaking the biggest business story of the year, using proprietary algorithms to uncover suspicious timing of stock options, and for putting in full context the enormous growth of China's economy." The Journal was the only paper this year to win multiple awards.
We conclude that while executive compensation schemes (e.g., stock options) were originally intended to help remedy the agency problem by tying together the interests of the executives and shareholders, these schemes may have actually become “part of the problem,” and that the solution ultimately depends upon whether directors and executives accept that all of their actions must be based on a set of core ethical values.Walt Handelsman of Tribune's Newsday in Long Island won the editorial cartoon award.The local reporting award went to Debbie Cenziper of Mc Clatchy Co.'s Miami Herald for reports about corruption at a Miami housing agency.The awards bring to 33 the number of Pulitzer Prizes won by The Journal.The awards carry a prize of ,000, except the public-service award, for which the winning newspaper receives a gold medal.Second, we discuss various stakeholder approaches (e.g., government, directors, managers, and shareholders) by which conflicts of interest (i.e., the agency problem) can be addressed.