Put another way, did you remember to include the values of those options on your balance sheets? How much were they? Would you offer to buy back those options in cash at that price?

Those are the only relevant details, none of which are contained in the press release. That’s why it’s simply a PR move and not a real donation.

Besides, as noted in the “IAQ”, those profits (underlying said shares underlying said options) are at least partially gained by selling donated materials. I think that’s Katie’s main point, and I think it’s valid.

B Corp isn’t quite doing its job, and shareholders should be concerned about the reputational risk BWB is generating, specifically through its shady campus acquisitions– how will BWB continue to be profitable once donors wise up?

Here are the details. Our non-profit literacy partners must earn these stock options by meeting their literacy goals. The nature of an option is the right-to-purchase shares at the current price (a.k.a. strike price – a low price per share) at a future date (when there is a high price per share). So the value of their right-to-buy will grow as Better World Books grows since the strike price never changes.

To be clear, we are GIVING UP part of our company so that our non-profit literacy partners will benefit as the value of the business grows. To Katie’s point, if big business ever tried to purchase BWB, this would act to preserve our mission, or at worst result in a windfall for our literacy partners.