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Author: yhs60 Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 19483  
Subject: Second Opinion Date: 1/28/2002 12:53 PM
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First time post.
This is actually a two part question but the second question depends on an answer to the first so I will post the second part later.
I am retiring in March after 35 years with an ethical pharma company.
I am 60 and I have a 401K and a lump sum pension which I will roll over into an IRA. I have about 100K in taxable funds and individual stocks. I also have an appreciable amount of stock options, both ISO and NQSO but more of the former, granted by my company. The ISO's will convert to NQSO's three months after my retirment. The oldest options have to be exercised by 2005. I plan on a cashless exercise and I hope to use the money as income for 4-5 years and hopefully not have to touch my IRA.
My questions in brief are:Do I cash in all the options at once and take the big tax hit? If so do I let them all revert to NQSO's first or cash them immediately? Or do I cash them from time to time to supply an income stream. I will have income for part of this year but none in 2003 since my wife will retire also.
My company has a bright future with a good pipeline and the stock has shown excellent growth over the last two years despite the bear market.

Thanks in advance for your help.
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