As I understand it (and Bumblebee explained it better), we authorized am option pool of 20% of outstatnding shares (I don't know if it's the fully diluted count or not). That would mean roughly 40 million option/shares. The pool cannot be refilled until the options are exercised (i.e. MB excercising his opened up room for about 3 million more which could be granted). By authorizing a doubling from 10-20%, it allowed for a bout 5 million new shares (more as the options get excercised).

Every time options are granted, it increases the diluted share count (and decreases our share of the company), and like compound interest, 20% of an every increasing float adds up.

I am beginning to dread after hours on Friday - but on the positive side, the fact that they were in such a (unseemly?) rush to issue the options might mean they expect a near term pop above the $1.24 strike price.