The Bank of New York, a global leader in securities servicing, will offer a powerful new tool to its employee stock plan services clients.
Clients will now have access to Option Navigator, a web-based service developed by Equity Methods that determines the fair value of equity instruments issued to employees and helps achieve FAS 123R compliance.
Option Navigator allows clients to generate option valuations that are FASB compliant, as well as auditor reports that detail valuation assumptions and expense calculations. Clients can compare option values and related expenses using a variety of FASB and IASB compliant techniques, including lattice methods and the Black-Scholes Merton formula. In addition, Option Navigator will integrate with the Bank's equity administration system to upload grant, exercise and cancellation data.
David Roberts, president and chief executive officer of Arizona-based Equity Methods, said, "Together with The Bank of New York, we will facilitate clients' ability to comply with the subtle challenges of FAS 123R."
Gary Nazare, managing director and Head of stock transfer and employee stock plan services at The Bank of New York, said, "The Bank of New York understands the impact that FAS123R will have on both private and public companies and is committed to helping clients implement option valuation techniques. Option Navigator offers our clients an integrated option administration and valuation solution."