To show the other side of the coin, MSN Money's Michael Brush worked with Albert Meyer to highlight high-quality companies that don't rely on stock options. Michael writes:

Meyer favors companies where options represent less than 5% of the shares outstanding. "It's a good signal that you are dealing with a management team that respects shareholders," he says. He finds this information in companies' annual reports in a table that summarizes stock options outstanding.

The full article can be read HERE.