Setting Up Stock Rules

To set up stock rules, use the Stock Table (STOCK_TBL), Stock Agent Table (STOCK_AGENT), Stock Branch Table (STOCK_BRANCH), and the Stock Exchange Table (STOCK_EXCHANGE) components.

This topic provides an overview of stock rules and discusses how to set up stock rules.

Page Name

Definition Name

Usage

Stock Table Page

STOCK_TBL

Create a unique stock ID that identifies a stock.

Stock Agent Table Page

STOCK_AGENT

Link escrow and transfer agencies that provide service for your stock with a stock ID, and add contact information.

Stock Branch Table - General Page

STOCK_BRANCH1

Link brokerage branches to stock IDs, and define fee options and captive broker authorization.

Stock Branch Table - Contact Page

STOCK_BRANCH2

Define brokerage branch contacts.

Stock Exchange Table - General Page

STOCK_EXCHANGE1

Link a stock ID with a stock exchange and define exchange details.

Stock Exchange Table - Contact Page

STOCK_EXCHANGE2

Define stock exchange contacts.

After you set up foundation tables, create a key identifier for your company's stock and add default values for your stock plans, including the stock's par value, CUSIP number, and the accounting standard for valuing stock options and purchases. You can override some of these values at the plan level to accommodate special circumstances or at the stock detail level as the profile of your stock changes over time. For instance, your stock exchange and symbol might change, but the key identifier remains the same.

Reports that are relevant to the tasks that are discussed in this section are:

  • Stock Agent report (STSU017)

  • Stock Branch report (STSU018)

Use the Stock Table page (STOCK_TBL) to create a unique stock ID that identifies a stock.

Navigation

Set Up HCM > Product Related > Stock > Stock Rules > Stock Table

Image: Stock Table page

This example illustrates the Stock Table page.

Stock Table page

Field or Control

Definition
Par Value

Enter the stock's par value. This is informational only.

CUSIP Number

Enter the stock's CUSIP number.

Accounting Standard

Select the financial accounting standard that your organization has adopted for valuing stock options and stock purchases. Values are: FAS 123 and APB 25.
FAS 123 Adoption Date

If applicable, enter the date your organization adopted FAS 123.
Original Fair Value Date

Enter the date your company either adopted the expense recognition requirements of FAS 123 or began to disclose the proforma impact of FAS 123.

If you selected FAS 123 as the accounting standard, enter the first day of your company's first fiscal year after 12/15/1995.

If you selected APB 25 enter the first day of your company's first fiscal year after 12/15/1994.

Note: When you run the Valuation Audit report, the system identifies all grants issued after this date that do not have a valuation record.

Days to Display

Enter the number of days that you want to display on the Maintain Daily Prices page.

Displayed Tracking Numbers

These tracking numbers (Last Grant Number, Last Exercise Number, and so on) are display-only and are continuously updated to reflect transactions processed by Stock Administration. The numbers start at 0 (zero) for each new stock ID.

Use the Stock Agent Table page (STOCK_AGENT) to link escrow and transfer agencies that provide service for your stock with a stock ID, and add contact information.

Navigation

Set Up HCM > Product Related > Stock > Stock Rules > Stock Agent Table

Field or Control

Definition
Agency Type

Select Escrow if the agency provides only escrow services, Transfer if the agency provides only transfer services, or Escrow/Transfer if the agency provides both services.

Use the Stock Branch Table - General page (STOCK_BRANCH1) to link brokerage branches to stock IDs, and define fee options and captive broker authorization.

Navigation

Set Up HCM > Product Related > Stock > Stock Rules > Stock Branch Table > General

Image: Stock Branch Table - General page

This example illustrates the Stock Branch Table - General page.

Stock Branch Table - General page

Field or Control

Definition
Last Control Nbr

This field displays the last control number used for this branch.

Control Number Prefix

Enter a prefix to associate with a last control number. The system will generate a sequential number with the prefix that you enter. For example, you may want to enter 2000 to identify the last control numbers from calendar year 2000. This field is optional.

Manage Fees

Select the fee fields to enable on the Exercise Sales and Release Sales pages. You may select more than one.

Captive Broker

Field or Control

Definition
Stock Options and Stock Purchase

Select to designate the authorized brokerage for stock option plans and for stock purchase plans, respectively.

Use the Stock Branch Table - Contact page (STOCK_BRANCH2) to define brokerage branch contacts.

Navigation

Set Up HCM > Product Related > Stock > Stock Rules > Stock Branch Table > Contact

Image: Stock Branch Table - Contact page

This example illustrates the Stock Branch Table - Contact page.

Stock Branch Table - Contact page

Field or Control

Definition
Contact Type

Values are: Administrative, Broker, or Administrative/Broker. You can identify one person or different people to serve as the administrative and broker contact.

Use the Stock Exchange Table - General page (STOCK_EXCHANGE1) to link a stock ID with a stock exchange and define exchange details.

Navigation

Set Up HCM > Product Related > Stock > Stock Rules > Stock Exchange Table > General

Image: Stock Exchange Table - General page

This example illustrates the Stock Exchange Table - General page.

Stock Exchange Table - General page

Field or Control

Definition
Trading Symbol

Enter the stock's trading symbol.
Price Source

Enter the source used to report and track daily prices. This field is for information only.