OptionsLink Utility Guide Version 5.1

Transcription

1 OptionsLink Utility Guide Version 5.1

2 OptionsLink Utility Guide Trademarks The software described in this manual is furnished under the license agreement included in the software package. The software may be used or copied only in accordance with the terms of the license agreement. It is against the law to copy the software on any medium except as specifically allowed in the license agreement. The information in this manual is subject to change without notice. No part of this manual may be reproduced or transmitted in any form or by any means, electronic or mechanical, including photocopying or recording, for any purpose without the express prior written consent of E*TRADE FINANCIAL Corporate Services. Companies, names, and data used in examples in this manual are fictitious and do not refer to, or portray in name or substance, any actual companies, names or data. Any resemblance to any real company, name or data is purely coincidental. Every effort has been made to ensure the accuracy of this manual. As provided in the license agreement, E*TRADE FINANCIAL Corporate Services warrants that, for a period of ninety (90) days from the date of its delivery, the software described in this manual will, under normal use and conditions, operate substantially in accordance with the descriptions relating to the performance of the software contained in the manual. E*TRADE FINANCIAL Corporate Services makes no representations or warranties with respect to any of the other information contained in this manual and specifically disclaims any express or implied warranties of merchantability and fitness for any particular purpose with respect to such information. E*TRADE FINANCIAL Corporate Services shall not be liable for any errors or for incidental or consequential damages in connection with the furnishing, performance or use of this manual or the examples herein. Equity Edge, OptionsLink, Equity Resource and E*TRADE FINANCIAL Corporate Services are registered trademarks of E*TRADE FINANCIAL Corp. or its subsidiaries. Other product names mentioned in this manual may be trademarks or registered trademarks of their respective companies and are the sole property of their respective manufacturers. Copyright 2004 E*TRADE FINANCIAL Corp. All rights reserved. Printed in the United States of America. Contact Information E*TRADE FINANCIAL Corporate Services Corporate Services (800) (650) Support Numbers (800) (916) (916) (Fax) Support Address corporatesupport@etrade.com Web Address corpservices.etrade.com

3 Reminder To Always Consult Advisors. E*TRADE FINANCIAL Corporate Services has taken care to develop quality products and services as tools to assist companies that work effectively with their own professional legal, accounting and tax advisors to comply with the laws, regulations, and rules pertaining to equity compensation. However, there may be aspects of any company's equity compensation plan or grant arrangements, including those offered by your company, which are not addressed by products or services of E*TRADE FINANCIAL Corporate Services. Always consult your legal counsel, accountant, tax and other professional advisors to ensure the accuracy, timeliness, and legality or other compliance of all results produced by products or services of E*TRADE FINANCIAL Corporate Services. E*TRADE FINANCIAL Corporate Services OptionsLink Utility Guide iii

4 iv OptionsLink Utility Guide E*TRADE FINANCIAL Corporate Services

5 Contents Overview...2 Security...5 System Requirements...6 Initial Setup Steps...7 Transferring Files with the Utility...15 Export and Import Files Types Importing Files Creating Export Files Index...31 OptionsLink Utility Guide v

6 vi OptionsLink Utility Guide 2004 E*TRADE FINANCIAL Corporate Services

7 OptionsLink Utility for Equity Edge The OptionsLink Utility for Equity Edge is a file transfer tool that simplifies the processes of creating, importing, and transferring files between Equity Edge and OptionsLink. Use the utility to create specific export files containing changes to accounts, new stock option or stock purchase participants, terminations, option activity, restricted grant and vesting, and restricted releases information. Alternately, use the utility to import files containing option exercises or the previous month s sale of shares acquired through a stock purchase. This document includes the following topics: Overview Security System Requirements Initial Setup Steps Transferring Files with the Utility OptionsLink Utility Guide 1

8 Overview Several activities are required to maintain accurate stock option, restricted stock, and stock purchase plan records. The type and frequency of files to drop off or pick up from the Client Service Center depend on the activity. For more information on the files listed below, see Export and Import Files Types on page 16. Creating Your First Files Companies must create and drop off specific files containing participant and grant information. Use OptionsLink Utility to create these files and transfer them to the OptionsLink database. The initial files to drop off include: Option/Award Plan Participants file Stock Option Plan Participants file Stock Option Grant Agreement file Stock Option Grants file Restricted Grant and Vest file Restricted Releases file Stock Purchase Plan Participants file Employee Stock Purchase file Note: Before using the OptionsLink Utility to transfer files, ensure the information in your database is accurate and free of errors. Incorrect or inaccurate records may create transaction delays and cause participants to access the wrong option or purchase information. Additional information on these procedures is found on the Client Service Center. Tracking and Verifying Stock Option Exercises When tracking your company s stock option exercises, use the OptionsLink Utility to pick up, create, and drop off the necessary files to complete settlement when participants exercise options. As part of these activities you need to: Pick up the Stock Option Exercises file, and import the records into Equity Edge. Create and drop off a Stock Option Exercise Verification file, and an updated Stock Option Grants file. 2 OptionsLink Utility Guide 2004 E*TRADE FINANCIAL Corporate Services

9 Create and drop off the Stock Option Exercise History file if your company has elected to display exercise history information to its employees. Tracking Stock Option Grant Acceptance On a daily basis, Pick up the Stock Option Grant Acceptance file, which contains stock option grant acceptance or declination information received through the Online Grant Agreement service. Tracking Restricted Grant and Vest Activities On a daily basis, or any time there is a change to your data: Send all of the restricted stock grant and vest information. It is critical that each time you send a full file with all historical data that has been previously sent to OptionsLink. Tracking Restricted Releases Information When the award or unit vests and the shares are ready to be released, Create the restricted release information for shares and drop it off. Send the records only once to Options Link as the shares included in the file will be available for sale as soon as the file is processed. Note that restricted stock grant and vesting information should have been sent to OptionsLink before you send information on any restricted release for the award or unit. Tracking Stock Purchase Activities At least six weeks prior to the purchase date update records, then create and drop off: Stock Purchase Plan Participants file On a monthly basis. Pick up the Stock Purchase Dispositions file tracking shares sold in the OptionsLink system during the previous month Depositing Stock Purchase Shares When processing stock purchases, stock plan administrators must: Create and drop off an Employee Stock Purchase file E*TRADE FINANCIAL Corporate Services OptionsLink Utility Guide 3

10 Maintaining Account Records On a regular basis, the OptionsLink application needs updated participant information. If changes occur frequently, use the OptionsLink Utility to create and drop off an export file each day or once a week. The files to drop off include: Option/Award Plan Participants file Stock Purchase Plan Participants file. 4 OptionsLink Utility Guide 2004 E*TRADE FINANCIAL Corporate Services

11 Security The OptionsLink Utility uses two forms of security: Equity Edge program security Secure Data Exchange SDX technology. Equity Edge security limits the ability of users to access the Equity Edge database, while SDX is a form of secure data transfer over the web. Because OptionsLink Utility shares the same security system as the Equity Edge program, user access is based entirely on the security settings set up in Equity Edge. To import and export files, you must have read-write access in either the Equity Edge Options or the Stock Purchase modules. For more information on security settings, see Securing Your Data in the Equity Edge User s Guide. Before you can transfer files, you must have a Client Service Center login and password. The login and password provide access to the website you will use to drop off and pick up files. If you do not know your login information for the Client Service Center, or if you have trouble accessing the site below, contact Corporate Support. A listing of current phone numbers is found on page ii of this document E*TRADE FINANCIAL Corporate Services OptionsLink Utility Guide 5

12 System Requirements Before using the utility, verify that your system meets these minimum requirements. Client systems using the utility must meet the following minimum requirements: Equity Edge 5.1 Microsoft Windows NT 4.0 (Service Pack 6 or above), Windows 2000 (Service Pack 3 or above), or Windows XP Connection to the Internet Microsoft Internet Explorer 5.5+ Note: For Windows NT users If you use Internet Explorer 5, you will need to install a patch available from Microsoft Production Support Services. Refer to the article Q Program Hangs During Unload with Secure Connection in the Microsoft knowledgebase located on the following Web page: support.microsoft.com/support/kb/articles/q238/9/34.asp. A fix for this problem will be included in the next Windows NT Service Pack. Equity Edge Data Requirements You cannot export files to the OptionsLink database unless the Equity Edge database contains data in the following fields: Employee Address: The employee s current mailing address MUST be included. In general do not abbreviate cities, provinces, and countries. Special instructions include: for U.S. addresses use the two character state abbreviation. For Canadian addresses use the two character province code. Employee ID: Each individual listed in the database must have a unique numeric or alphanumeric ID of up to 11 characters (such as the Social Security Number). Employee Name: Each individual name must be accurate. Employee records with missing name fields are rejected. Social Security Number: Enter only U.S. Social Security numbers in this field. Tax Information: Ensure that tax tables are complete and accurate. U.S. employer records without tax information will default to 42% witholding for our calculation purposes. Terminated Employees: Ensure current employment status records exist for terminated employees. 6 OptionsLink Utility Guide 2004 E*TRADE FINANCIAL Corporate Services

13 Initial Setup Steps Perform the following steps to set up or update the OptionsLink Utility: Install the OptionsLink Utility Open the Utility Connect to the Equity Edge Database Connect to the Client Service Center Specify the Broker Settings Change the Format Settings Install the OptionsLink Utility The utility should be installed on each computer that will create or transfer files between the Equity Edge program and the OptionsLink application. Download the OptionsLink Utility from the Client Service Center. Note: If you have an older version of the OptionsLink Utility installed, the OptionsLink Utility 5.1 installation program will remove the previous version before installing the new version. As part of this removal process, any existing filters and other settings you may have created in the previous version of the OptionsLink Utility will be removed. Note You must have Equity Edge 5.1 installed before you can begin the OptionsLink Utility 5.1 installation. Installation Steps 1. Download the OptionsLink Utility installer file: The installer file is a compressed WinZip file and should be downloaded to your computer. You can download the OptionsLink utility 5.1installer in one of the following two ways: OptionsLink Client Service Center: Log on to the OptionsLink Client Service center at Download the 5.1 version of OptionsLink Import/Export utility installer E*TRADE FINANCIAL Corporate Services OptionsLink Utility Guide 7

14 Equity Edge 5.1 Installation Menu: Click on Install OptionsLink Import/Export Utility which is the third step in the Equity Edge 5.1 Installation Menu window. This link will take you to the OptionsLink Client Service Center where you can download the OptionsLink utility 5.1 upgrade. 2. Save the compressed installer file: The File Download window appears. Choose the Save button. 3. Select location for the compressed installer file: The Save As window appears. Select an appropriate folder to save optionslink_utility51.zip, the compressed installer file. Choose the Save button. The compressed installer file will be saved on your computer. 4. Extract the optionslink_utility51.exe file: Use the WinZip utility to extract the optionslink_utility51.exe file from compressed installer file. 5. Start the installation process: Double-click on the optionslink_utility51.exe file icon. If you do not have Equity Edge 5.1 installed, the following message appears. Figure 1 An earlier version of Equity Edge has been detected You must have Equity Edge 5.1 installed before you can complete the OptionsLink Utility installation. 6. Uninstall previous versions of the utility: Previous versions of the OptionsLink Utility must be uninstalled before installing the new version. If you have a previous version installed, the following message appears. Figure 2 Uninstalling a previous version of the utility Choose the Yes button. The OptionsLink Utility 5.1 installation program will uninstall the previous version for you. 8 OptionsLink Utility Guide 2004 E*TRADE FINANCIAL Corporate Services

15 7. Begin the installation: The Welcome window appears. Choose the Next button. Figure 3 Welcome window 8. Choose the destination for the utility: The Choose Destination Location appears. Figure 4 Choose Destination Location window 2004 E*TRADE FINANCIAL Corporate Services OptionsLink Utility Guide 9

16 Accept the default location or change the location of the program by selecting the Browse button. If you select the Browse button, a Choose Folder window appears, allowing you to change the path of the OptionsLink Utility program. Choose the OK button to save your new path. Choose the Next button. 9. Review settings: The Start Copying window appears. Figure 5 Start Copying Files window Review the settings listed and choose the Back button to make any changes, if necessary. Click Next. A progress bar appears while the utility installs. 10. View the Readme file: The View Readme window appears. Choose the Yes button to review the Readme file. When you are finished reviewing the file, close Notepad. 10 OptionsLink Utility Guide 2004 E*TRADE FINANCIAL Corporate Services

17 11. End the Installation: The Setup Complete window appears. Click Finish. Figure 6 Setup Complete window The OptionsLink Utility 5.1 for Equity Edge 5.1 is now successfully installed on your computer. Open the Utility After you install the software, open the utility by clicking the OL Util icon from the Equity Edge icon bar. The OptionsLink Utilities for Equity Edge window appears. Figure 7 The OptionsLink Utilities for Equity Edge Export window 2004 E*TRADE FINANCIAL Corporate Services OptionsLink Utility Guide 11

18 Connect to the Equity Edge Database When you open the utility, you are automatically connected to the company database currently connected in Equity Edge. To connect to a different Equity Edge company database, 1. Close the OptionsLink Utility window. 2. From the Equity Edge menu bar, choose File Company CompanyName. The Logon window appears. 3. On the Logon window, enter the User ID and password to log on to the company database and choose OK. 4. Click on the OptionsLink Utility icon. You are now accessing the new company database. Connect to the Client Service Center Before using the utility to automatically pick up and drop off files at your company site on the Client Service Center server, you must specify your login ID, password, and the Internet address of the Client Service Center. If you do not have this information, please contact Corporate Support. To specify your company login information for the Client Service Center, 1. From the OptionsLink Utilities window, choose Settings Connection. The Connection Settings window appears. Figure 8 Connection Settings window 2. Complete the fields in the Connections Settings window. Enter the following information in the appropriate fields: 12 OptionsLink Utility Guide 2004 E*TRADE FINANCIAL Corporate Services

19 OptionsLink Internet Address type User ID Type the User ID for the Client Service Center. Password Type the password for the Client Service Center User ID. 3. If your company has set Proxy Server ID and password in Equity Edge, this read-only checkbox will be selected. If Proxy Server ID and password is not selected in Equity Edge, this checkbox is cleared. 4. Choose the Test Connection button to verify that the address and login information is correct (optional). A message appears indicating the test completed successfully. If a different message appears, contact the Client Service Center for further assistance. 5. Choose the OK button to save the settings. Specify the Broker Settings You must specify an OptionsLink Broker before using the utility to create any exercise import or export or any purchase data export information from Equity Edge. In Equity Edge you create a broker ID to represent the transactions that will be processed through OptionsLink. For employees who have chosen E*TRADE as their broker, you must export only those shares that are to be deposited with E*TRADE OptionsLink. Use the drop-down list in the Broker Settings window to choose from the broker IDs in the Equity Edge database (See Figure 9). Once the Broker Setting has been selected in OptionsLink Utility, it should not be changed. Note: If you switch between any database identified by the same ticker symbol, you should reselect the broker ID before exporting files. To set the broker ID, 1. In Equity Edge, create a broker ID to represent the transactions that will be processed through OptionsLink. 2. In the OptionsLink Utility, Choose Settings Broker. The Broker Settings window appears. Figure 9 Broker Settings window 2004 E*TRADE FINANCIAL Corporate Services OptionsLink Utility Guide 13

20 3. Select a broker ID from the drop-down list that represents the OptionsLink Broker in Equity Edge. 4. Choose the OK button to save the setting. Change the Format Settings Members of E*TRADE s Strategic Partner Alliance must change the Format Settings to reflect their relationship. The format setting is found under Settings Format Setting. If you are not a member of E*TRADE s Strategic Partner Alliance, you should select Standard for this setting. An incorrect setting may stop your imports and exports from functioning correctly. Figure 10 Format Settings window 14 OptionsLink Utility Guide 2004 E*TRADE FINANCIAL Corporate Services

21 Transferring Files with the Utility The utility uses one of two methods to transfer files: Manual or Automatic. Use the Manual method to create and export specific files or to import files into the Equity Edge database. Once the utility creates an export file, log in to the Client Service Center at a later time and drop it off. You can also log in to the Client Service Center to pick up files and use the utility to update the Equity Edge database. Use the Automatic method to automatically import or export these files from the Client Service Center. You can choose to transfer some files automatically and other files manually. Regardless of the method you use, in general, you should always pick up and import files before you create export files and drop them off. Note: If you are a new client and are using the OptionsLink Utility for the first time, you must create and drop off an Option/Award Plan Participants Account or Stock Purchase Plan Participants Account file. (See the User Guide tab of the Client Service Center for information for new clients.) 2004 E*TRADE FINANCIAL Corporate Services OptionsLink Utility Guide 15

22 Export and Import Files Types All files transferred through the OptionsLink Utility are categorized as either Export files (files you drop off to the Client Service Center) or Import files (files you pick up from the Client Service Center). The requirements for dropping off or picking up files depend on the type of and frequency of participant activities. Note: For more information about the files you may need to pick up or drop off, see the Client Service Center. Following is a list of export files the utility creates: Table 1. Stock Option and Stock Purchase Export Types Export Name File Type Purpose Option/Award Plan Participants Stock Purchase Plan Participants Stock Option Grants Stock Option Grant Agreements Stock Option Exercise Verification Stock Option Exercise History Restricted Grant and Vest Restricted Releases Employee Stock Purchase Option/Award Account file Purchase Account file Grant file Grant Agreement file Exercise Verification file Exercise History file Restricted Grant and Vest file Restricted Releases file Purchase Share Deposit file Informs OptionsLink about changes to accounts and adds new stock option/award participants. (Account files now include terminated accounts.) Informs OptionsLink about changes to current accounts and adds new stock purchase participants. Informs OptionsLink of new stock options that have been granted as well as current option information. Informs OptionsLink of all stock option grant agreements option number and acceptance date. Informs OptionsLink of daily option exercise and same-day-sale activity, including taxes withheld. Informs OptionsLink of exercises completed outside OptionsLink by a different broker. Informs OptionsLink of detail on the award, including shares granted, price, tax election, vesting schedule and the E*TRADE broker to whom to export award grants and vesting information. Informs OptionsLink of award release information if the broker for the release is OptionsLink. This file includes one record for each vesting tranche that was released within the specified date range and had shares deposited to an OptionsLink account. Informs OptionsLink of the number of shares purchased by each individual participating in the stock purchase. 16 OptionsLink Utility Guide 2004 E*TRADE FINANCIAL Corporate Services

23 Following is a list of import files the utility picks up: Table 2. Import File Types Import Name File Type Purpose Stock Option Acceptances Option Acceptance file Updates Equity Edge with the day s online stock option grant acceptances. Stock Option Exercises Exercise file Updates Equity Edge with the day's exercises. Stock Purchase Enrollment/Withdrawals Purchase Enrollment/Withdraw file Updates Equity Edge with the day s online enrollments or withdrawals to the company s stock purchase program. Stock Purchase Dispositions Purchase Sales file Updates Equity Edge with the previous month's sale of shares acquired through a stock purchase E*TRADE FINANCIAL Corporate Services OptionsLink Utility Guide 17

24 Importing Files If you are importing files using the Manual method, first log in to the Client Service Center and pick up the file or files you want to import. You can then use the utility to import files into the Equity Edge database one at a time. If you import files using the Automatic method, you must specify the Client Service Center login information in the Connection Settings window (see Connect to the Client Service Center ). The utility automatically logs in to the Client Service Center, picks up the all the import files you specify, and updates the Equity Edge database. If you want to use the exercise import features of the utility and you have option information in the Equity Edge database, choose Settings Option Exercise Import to specify additional Option Exercise Import settings (see Option Exercise Import Settings ). To import files, 1. Choose File Import. The OptionsLink Utilities window displays the fields associated with importing files. For field explanations, see Import File Window below. 2. Below the Import Method label select the Manual or Automatic radio button. 3. Choose the Browse button, located beside the Import File Location text field to locate and select the file you want to import. If you are using the Automatic method, choose the Browse button to locate the folder where you want the utility to save files that it picks up from the Client Service Center. 4. Below the Files to Import label, select the file type you want to import into the Equity Edge database. For more information about each file type, see Import File Window below. 5. Choose the Start button to begin the import. A warning message appears. Figure 11 Stock Option Exercise Import Warning It displays information about the last file imported into the database through the utility, and the current file you are importing. 18 OptionsLink Utility Guide 2004 E*TRADE FINANCIAL Corporate Services

25 Verify that you are importing the correct file, and choose the Yes button. If the files are the same and the information in the file exists in the Equity Edge database, choose the No button to cancel the process. Import File Window Figure 12 OptionsLink Utilities window displaying active import fields for the Manual method Listed below is additional information about the import options found in the utility. Stock Option Acceptances: The Acceptance file contains stock option grant acceptance or declination information received through the Online Option Agreement service. This file is available for pick up daily. Stock Option Exercises: The Exercise file contains exercises for the current date if it is picked up between 2:30 pm and 1:00 pm (Pacific Time) the following day. The one and a half hour difference between these times is used to process the following day s transactions. For example: If today is Monday and you pick a file up after 2:30 pm (Pacific Time), and before 1:00 pm the following day, the UPG file will apply to Monday s date. This file is tagged with a creation date and is available at the Customer Service Center for 30 days. You can view when each file was created. Note: You should use the OptionsLink Utility to import the Exercise file rather than the Equity Edge exercise import function. The Equity Edge Exercise import function does not specify the E*TRADE broker registration information for each cash exercise E*TRADE FINANCIAL Corporate Services OptionsLink Utility Guide 19

26 Stock Purchase Enrollment/Withdrawals: The Enrollment/Withdrawals file contains any online enrollment in or withdraw from the stock purchase program received through OptionsLink. This file is available for pick up daily. Stock Purchase Dispositions: The Purchase Sales file is available for pickup for the previous month between the first and last day of the current month. If you did not pick up the file before it was removed, please contact Corporate Support. Option Exercise Import Settings Use the Option Exercise Import Settings window to specify default settings when importing the Exercise file from the Client Service Center. If you decide to use these settings, they need to be specified before you import exercise information. Figure 13 Option Exercise Import Settings window These optional settings work by associating specific instructions with each exercise record. If you do not want to use one or more of the fields, leave the fields blank. Any information specified in the Option Exercise Import Settings window is saved with each exercise record. You can complete any or all of the following settings: Control Number: The control number uniquely identifies exercises sent to E*TRADE. The same control number entered is assigned to each exercise created when importing the UPG file. Modify control numbers by typing the desired control number in the Control Number text box. You can enter up to 8 alphanumeric characters into the Control Number text box. Delivery Instructions: Specify DWAC (Deposit Withdrawal At Custodian) or other delivery instructions associated with each exercise. Use Exercise Date As Confirm Date: Select the check box to have the exercise date used as the confirmation date. If you clear this check box, the information in the import, if any, is used. Display This Window When Importing Exercises: Select this check box to display this window before importing and exercise record. This option allows you to populate the next control number when importing multiple exercises. 20 OptionsLink Utility Guide 2004 E*TRADE FINANCIAL Corporate Services

27 To set the import settings, 1. Choose Settings Options Exercise Import. The Option Exercise Import Settings window appears. 2. Specify the import settings you want to use. For field explanations, see Figure 13 below 3. When you finish, choose the OK button to save your settings E*TRADE FINANCIAL Corporate Services OptionsLink Utility Guide 21

28 Creating Export Files To create an export file, 1. Choose File Export. The Export file window appears. 2. Below the Export Method label select the Manual or Automatic radio button. Manual: When exporting files using the Manual method, the utility creates and saves an export file to your hard drive. Use this method when you want to create files immediately but drop them off at a later time. The file is stored in the location you specify; you can drop it off at the Client Service Center later. Automatic: Using the Automatic method creates and saves an export file to your hard drive. The utility then automatically logs in to the Client Service Center and drops the export file off at the Client Service Center. Select the Automatic radio button when you want to complete these processes immediately and automatically. 3. Enter data for the export file you want to create. For field explanations, see Export File Window below. 4. Choose the Browse button in the Export Folder Location section to locate the folder in which you want the utility to save the files it creates. 5. Below the Files To Export label, select the file types you want the utility to create. 6. Set filters for the selected export files. A different filter can be set for each file. For more information about using a filter, see Setting a Filter below. 7. Choose the Start button to begin processing. Note If you want to export stock purchase information (the Purchase Share Deposit file), you need to specify a broker in the Broker Settings window (see Broker Settings window ). Be sure to import the Stock Options Exercises file before you export grants. Warning! Do not drop off a file that contains errors or missing records as a result of errors during the export process. If you attempt to create an export file and receive a warning that there were errors during the process, review the log file (OLUTLExpt####.LOG), and update the Equity Edge database before creating a new export file. 22 OptionsLink Utility Guide 2004 E*TRADE FINANCIAL Corporate Services

29 Export File Window Figure 14 OptionsLink Utilities window displaying export information The OptionsLink Utilities window contains the following export options: Option/Award Plan Participants: The Accounts file is available only if the Equity Edge database contains information about stock options or restricted stock. Create and drop this file off as needed. The OptionsLink Utility always defaults to creating Option/Award Plan Participants Account files only for changed or new records. For information on changing account export settings to include all accounts, see Account Export Settings. Stock Purchase Plan Participants: The Purchase Name and Address file is available only if the Equity Edge database contains information about stock purchases. Create and drop this file off as needed. The OptionsLink Utility always defaults to creating Stock Purchase Plan Participants Account files only for changed or new records. For information on changing account export settings to include all accounts, see Account Export Settings. Stock Option Grants: Create and drop off the Grant file on a daily basis. This file is available only if the Equity Edge database contains information about stock options E*TRADE FINANCIAL Corporate Services OptionsLink Utility Guide 23

30 If you select the Stock Option Grants check box, the As Of Date field becomes available. Enter the date as of which you want stock option information to be included. The export file includes data for grants with outstanding shares up to and including this date. You also have the option to filter stock option grant information. For more information, see Setting a Filter. Note: If you are creating this file before 12:30pm Pacific Time, use the current date. If you are creating this file after 12:30pm, use the next business date. For more information about creating a Grant (GP) file, see Creating Files in the Processes section of the User s Guide tab in the Client Service Center. Stock Option Grant Agreements: This file includes both active and inactive options, whether or not acceptance is required, the acceptance date and document reference. Use the Begin and End dates to enter the date range for the option agreements you want to include in this file. Choose the Filter button to filter the option agreements you include in the export file. For more information about using a filter Setting a Filter below. Stock Option Exercise Verification: Creates a Verification file. This file is available only if the Equity Edge database contains information about stock options. It contains information about each exercise and any taxes withheld and is used to verify the exercise records imported into the Equity Edge database from the Exercise Import file. Selecting the Stock Option Exercise Verification check box enables you to enter information into the following two text boxes: Exercise Date: Enter the exercise date you want included in the verification file. DWAC Control #: Enter in a DWAC (Deposit Withdrawal At Custodian) number into the optional DWAC Control # field. You may enter up to 30 alphanumeric characters in the DWAC Control # field. Any character can be used except the comma or pipe. If no control number is entered, then the text NO CONTROL NUMBER will be added to the text field. This field provides a unique identifier, which is used to trace and locate exercise transactions. The Verification file should be created and dropped off after the latest Exercise file has been imported into the Equity Edge database. Stock Option Exercise History: Creates the Exercise History file. If you select the Stock Option Exercise History check box, the Begin Date and End Date fields and the Filter buttons become available. Enter the begin and end dates for the range of time between which you want to include information about exercise history. Note: An exercise file always overwrites the previous exercise file sent in. Restricted Grant and Vest: Select this checkbox to export award grants and vesting information to OptionsLink. Create and drop off this (RV) file on an as needed basis. If you select the Restricted Grant and Vest checkbox, the As Of Date field becomes available. Enter the date as of which you want restricted stock information to be included. 24 OptionsLink Utility Guide 2004 E*TRADE FINANCIAL Corporate Services

31 All active restricted stock grants along with their respective vesting periods are included in the export. Restricted Releases: Select this checkbox to export award release information to OptionsLink. Create and drop off this (RR) file on an as needed basis DWAC Control #: Enter a DWAC (Deposit Withdrawal At Custodian) Control number into the optional DWAC Control # field. You may enter up to 30 alphanumeric characters in the DWAC Control # field. Any character can be used except the comma. If no control number is entered, then the text NO CONTROL NUMBER will be added to the text field. This field provides a unique identifier, which is used to trace and locate employee restricted release transactions. Begin Date and End Date: Use the Begin and End dates to enter the date range for the releases you want to include in this file. Broker ID: This field in the Settings Broker window contains a drop-down list. Select the appropriate broker id. Note: For employees who have chosen E*TRADE as their broker, you must export only those shares that are to be deposited with E*TRADE OptionsLink. Employee Stock Purchase: The Purchase Share Deposit file is available only if the Equity Edge database contains information about stock purchases. DWAC Control #: Enter in a DWAC (Deposit Withdrawal At Custodian) Control number into the optional DWAC Control # field. You may enter up to 30 alphanumeric characters in the DWAC Control # field. Any character can be used except the comma. If no control number is entered, then the text NO CONTROL NUMBER will be added to the text field. This field provides a unique identifier, which is used to trace and locate employee stock purchase transactions. Specify Distribution Period: Select the Specify Distribution Period radio button to create a single export file containing distribution information for a single purchase plan. Specify Date Range and Plan: Select the Specify Date Range and Plan radio button to create an export file for a single purchase plan or to create a single export file containing information about all purchases that occurred during the specified range. If you select the Specify Date Range and Plan radio button, the Begin Date, End Date, and Plan fields become available. Enter the begin and end dates for the range and the plan (or select All to include information about all purchase plans) for which you want to create an export file. This file should be created and dropped off after a stock purchase. Note: If the E*TRADE broker ID is specified in the Broker Settings window, then the Purchase Share Deposit (EP) file includes only purchases that had E*TRADE as a broker at the time of the purchase. (For more information, see Specify the Broker Settings.) 2004 E*TRADE FINANCIAL Corporate Services OptionsLink Utility Guide 25

32 Export File Compression In addition to the standard files created during export, the utility also creates a compressed version of each file. The compressed files are in PkZip or WinZip format. The files retain the original filename, but have a.zip extension. The original.dat and the compressed.zip files are stored in the folder you specified before starting the export. You may remove or archive these files after they are no longer needed. Account Export Settings The utility can export only new or changed accounts, or can export all accounts, including terminated accounts. The utility can also automatically track exported records for missing addresses. To change Account Export Settings, select Settings Account Export to view the Account Export Settings window (Figure 15). Figure 15 Account Export Settings Window When OptionsLink Utility version 5.1 is first installed, all non-terminated accounts and all accounts terminated within last 90 days will be exported. After the initial set up, you can change your export settings to include only new or changed accounts, to include terminated accounts, and to indicate whether or not to inform you of missing addresses. Include Accounts with: select one or both of the following checkboxes. Options: Select this checkbox if the account exports should include accounts that have one or more options. 26 OptionsLink Utility Guide 2004 E*TRADE FINANCIAL Corporate Services

33 Awards: Select this checkbox if the account exports should include accounts that have one or more awards. Export Only New/Changed Accounts Transferring account record files that are new or modified. Select this checkbox if the export should be limited to only accounts that are new or have been changed since the last export. Clear this checkbox if you d like to include all accounts in the export, regardless of when they were added or last changed. This is reset each time you export to include only new and changed accounts. Include Accounts Terminated within textbox Enter the number of days you d like the OptionsLink Utility to look back to include terminated accounts. The Export will include any accounts terminated within this time frame. A 90-day look back is the default. You can select a number from 0 to 9999 days. However, if you enter a zero in this field, the program will not pick up any terminated accounts. Whatever value you enter in this field will be saved and displayed the next time you open this window. In addition, this look-back setting will apply to exported option, awards, and purchase account records. If you deselect this checkbox, you are indicating that all account records should be exported. You can choose from the radio buttons below whether to include records for Terminated Employees with Outstanding Option or Awards shares or to not include Terminated Options or Awards Accounts. When you deselect the Export Only New/Changed Accounts checkbox, the following radio buttons are enabled: Include Terminated Accounts with Shares Outstanding When you select this radio button, you are indicating that you would like to export all account records, including those that may not have new or changed information and accounts for terminated employees with shares outstanding. The export would only exclude accounts for terminated employees without shares outstanding. Note: For Restricted Grant and Vest, the term Unreleased Shares are called Shares Outstanding. Do Not Include Terminated Accounts When you select this radio button, you are indicating that you would like to export all account records, including those that may not have new or changed information but you wish to exclude any accounts for terminated employees. Check for Missing Addresses Checks for missing addresses E*TRADE FINANCIAL Corporate Services OptionsLink Utility Guide 27

34 If you select the Check for Missing Addresses checkbox, you must decide what the utility should do if any account addresses are missing. If you wish to continue the account export without reviewing the files that are missing addresses, you must select the Continue Account Export radio button. If you do not wish to continue the export, then select the Cancel Account Export radio button. A warning window appears if you select the Checking for Missing Addresses checkbox and try to export an Option/Award Account or a Purchase Account file. If the Continue Account Export radio button was selected, all exports would continue. If the Cancel Account Export radio button was selected, only exports that did not have errors would continue being exported. All account exports with missing addresses will not be created. You can then review the accounts with missing addresses via the.log file. Export Error LOG File If addresses are missing in any account export file, an .log file is created in the root directory of the OptionsLink program. The.LOG file is called Option Log.txt or Purchase Log.txt, depending on the type of export created. The next time the export is run, the.log file overwrites the existing log file, regardless of whether accounts being exported are missing addresses. If no accounts are missing addresses, the log file will be blank, indicating that no accounts were missing addresses. If a.log file is created, it contains the following format: Last Name First Name ID SSN Mizumi Korin ###-##-#### ###-##-#### Export Error Messages A message box appears if any record fails to be exported. The message notifies you of missing or invalid information in required fields, provides you with the file path that contains a.log file, and allows you to view the records that could not be exported. Another way to view export error messages is to view the export.log file (OLUTLExpt####.LOG), located under the export folder directory of the OptionsLink program. Review this.log file for errors by opening it up in a text editor, such as Notepad or WordPad. The actual name of the.log file may change depending on the ticker symbol used for your company. Update the Equity Edge database before creating a new export file. 28 OptionsLink Utility Guide 2004 E*TRADE FINANCIAL Corporate Services

35 Setting a Filter Use the filter operation to either include certain records in your file or exclude them from your file. As with other data filters, you screen information to show only the records you want. When you create a filter, you select the following: Field Name: Select the field by which you want to filter from the drop-down list. Condition: Select a condition from the drop-down list. Comparison: Type a comparison word or value. Figure 16 Filter-Stock Option Plan Participants For example, suppose you want to include only certain management levels when you run the Stock Options Plan Participants file. Select Title from the Field Name drop-down list. Select is equal to from the Condition drop-down list. Then Type Director in the Comparison field. Warning! If you apply filtering criteria to your Stock Option Grant file, New Grant Agreement file, or Exercise History file, remember that OptionsLink deletes all grant, grant agreement, or exercise history files currently in the OptionsLink database that are not included in the exported files. Always verify the filters set before exporting a file so that information is not excluded and therefore deleted unintentionally E*TRADE FINANCIAL Corporate Services OptionsLink Utility Guide 29

36 30 OptionsLink Utility Guide 2004 E*TRADE FINANCIAL Corporate Services

37 Index Symbols zip extension 26 A Acceptance file 17 Account Export Settings Window 26 Automatic Export Error Messages 26 Automatic method file import 20 C Changes to the OptionsLink Utility Accounts file 23 Restricted Grants 24 Restricted Releases 25 Client Service Center server connecting to 12, 13 client system requirements 6 Confirm Date 20 Control Number 20 D Delivery Instructions 20 DWAC Control # 24, 25 E E*TRADE OptionsLink Utility 5 Employee Stock Purchase 25 Exercise Date 20, 24 Exercise History (EH) file 24 Export Stock Option Grant Agreements 16 export file types 16 Exporting Errors 28 F file compression 26 file export Manual method 22 file import Automatic method 20 Manual method 18 file types export 16 filter operation 29 G Grant Agreements file 16 I Import Stock Option Acceptance 17 Stock Purchase Enrollment/ Withdrawals 17 Importing Files 18 Internet Explorer 5 6 M Manual Export Error Messages 26 Manual method file export 22 file import 18 methods manual and automatic 15 O OL Util icon 11 OLUTLExpt.LOG 28 Option Exercise Import Settings 20 P PkZip 26 Purchase Sales (UPE) file 20 Purchase Share Deposit export (EP) file 25 R requirements client system 6 system 6 (c) 2002 E*TRADE Business Solutions Group, Inc. OptionsLink Utility Guide 31

38 S Secure Data Exchange 5 secure data exchange (SDX) 5 security Equity Edge program 5 secure data exchange (SDX) 5 Stock Option Acceptance 17 Stock Option Exercises 19 Stock Option Grant Agreement file 16 Stock Option Plan Participants 23 Stock Options Plan Participants file 29 Stock Purchase Dispositions 20 Stock Purchase Withdrawals file 17 Switching databases 13 system requirements 6 T ticker symbol 13 U Using Internet Explorer 5 6 W Windows NT 6 WinZip OptionsLink Utility Guide (c) 2002 E*TRADE Business Solutions Group, Inc.