Why Coca-Cola’s Billion Dollar Plan Is the Wrong One

By David Hanson and Matt Koppenheffer – Apr 4, 2014 at 7:00AM

NYSE: KO

Coca-Cola

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This is why Coca-Cola billion dollar plan is the wrong one

In this segment from Thursday's Where the Money Is, Motley Fool financials analysts David Hanson and Matt Koppenheffer discuss a tweet from The Motley Fool's John Reeves, highlighting this article on Coca-Cola's (KO) new compensation plan. The guys discuss the decision to compensate employees with company stock rather than money, what that means for a company, and why paying in cash is a much more employee-friendly approach.

David Hanson has no position in any stocks mentioned. Matt Koppenheffer has no position in any stocks mentioned. The Motley Fool recommends Coca-Cola. The Motley Fool owns shares of Coca-Cola and has the following options: long January 2016 $37 calls on Coca-Cola and short January 2016 $37 puts on Coca-Cola. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.