Welcome!
Hi everyone. I'm Laura Lank I lead the compensation team here at Wayfair. I just wanted to welcome you to our new slack channel where we'll be answering your questions around the stock price change that will be happening in August As you know, from the communication we sent out last week, we'll be announcing the new share price the week of August 8th. But prior to then we'll be updating this channel with questions as they come through from all of you. We've pinned the FAQ document to the top of the channel, so please go in there and read through any questions that have come through so far, and if you have a new question funnel that to your Director and they'll send them over to my team to make sure that we're able to answer as many as possible. So please take advantage of the channel, we put it together based on feedback from all of you. And I'm going to start out by answering one of our first questions live
How is the planning price set; making it more formulaic, like a 90-day rolling average? What can we do to promote more transparency here?
Alright, so first question here is how is the planning price set? Can we make it more formulaic or pick an approach like use a 90-day rolling average? What can we do to promote more transparency here? This is a great question. So thanks for asking. It's something that my team thinks about fairly often and we have looked at different approaches that other companies use or that might make sense based on our current situation. Just about a year ago, we actually did a deep dive into whether we should move to using a rolling average in order to come up with our future stock prices that we use internally. When we looked at it a year ago and dug into the data, we found that those historical prices actually weren't great predictors of future prices. However, it's something that's definitely still on the table. and so as we are heading into August we're only going to reset the 2022 price for the rest of the year. but as we look towards future years, and coming up on our winter cycle in March of 2023, we are evaluating the methodology that we're using and really hoping to bring more transparency to that process. So, thanks for the question
