C8.8. In February 1999, Boots, the leading retail chemist in the United Kingdom, announced plansto reform its employee optioncompensation scheme. In the future, it said,the firm willpurchase itsownsharesto provide shares to issuewhen options are exercised, and it will chargethe difference between the market price and the issuepricefor theoptions againstprofits. Thechargeforthefirstyearwasexpected to be£63million ($103 million). Whatdo youthinkof thisscheme?