My wife received this notification from the company she works for. Which option is more favorable? The notice of Extension of Exercise must be completed for each of your outstanding stock options (as identified in Exhibit A to the Notice), meaning that you must either (1) elect to amend your option to obtain the extended exercise window post-termination (in which case your option will be converted to a Non-Statutory Stock Option), or (2) elect to retain the 90-day exercise window post-termination (in which case your option will remain an Incentive Stock Option). As a reminder, a Non-Statutory Stock Option has less favorable tax treatment than an Incentive Stock Option.
