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  "documentTitle": "Box, Inc. (BOX)",
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  "notes": "The slide uses a 'heads I win, tails you lose' framing to highlight the misalignment between employee benefits and shareholder interests.",
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      "text": "Box's \"Cadillac\" ESPP contains off-market terms and does not promote an alignment of interests",
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      "text": "Box’s “Cadillac” ESPP contains off-market terms and does not promote an alignment of interests",
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      "text": "In addition, the 24-month offering period means that if Box's stock price were to increase during this time, the purchase price to employees under the ESPP would remain constant at a discount to the original price for the entire offering period.",
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      "text": "The longer 24-month offering period affords Box employees the opportunity to purchase shares \"lower for longer\" than if a shorter, more conventional offering period were used.",
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      "text": "These features preserve a lower purchase price during an offering period when the Box stock is increasing and automatically lowers the purchase price if the stock price declines—either way, employees win and common stockholders endure higher costs and dilution.",
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      "text": "Box's ESPP has a 24-month offering period, which is longer than the offering period reported by most peers, and allows for the purchase of up to 3,000 shares at a 15% discount (the maximum allowable discount) every six months (subject to a $25,000 annual limit), with no holding requirement.",
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      "text": "The majority of companies in Box's Peer Group that have ESPPs have a 6-month offering period, which limits the time during which a low stock price would apply for the discounted purchase.",
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      "text": "When Box's stock price declines below the original purchase price during the 24-month offering period, the purchase price will be reset based on the lower stock price and a new offering period will begin.",
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      "text": "The ESPP also has a feature that could result in an even lower purchase price during the 24-month offering period.",
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      "text": "Box's Employee Stock Purchase Plan (\"ESPP\") is designed with features that make it extremely expensive and dilutive for Box stockholders.",
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      "text": "Source: Company filings.",
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      "text": "Box's ESPP Does Not Follow Best Practices",
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