By Adam E. John
Reed Hastings mistakes are proving costly to him as well. His annual stock-option allowance has been chopped by half to $1.5 million according to the Form 8-K current report filed by the company with the SEC on Thursday. His salary of $500,000 for the next year remains the same. Mr. Hastings took home $3 million in stock options for the current year.
Netflix shares dropped some 75 per cent after the company raised prices and tried to separate its mail-order movie rental business and online-streaming services into two different business entities.