[bzz01]

If you are reducing the number of shares outstanding from 32,000,000 to 400,000, it is 80:1 not 8:1 reverse split.

In your example, employee would have 100 not 1000 shares post split, and still would gain $6K.

[jeffmould]

Yep you are right, added an extra zero in there. One of those days.