They agreed to pay taxes this April in order to start the clock running on long-term capital gains. The tax bills are still due. When stock prices plunged, many dumped their stock last year to avoid a huge AMT bill on incentive stock options. Some then quickly bought back their stock. Even worse, it is taxed as income at rates as high as 39.6 percent, not at the 28 percent AMT rate.
Margin loans create cash crunch.
Some exercised options, then borrowed against their stock to pay for homes, cars and other needs. When stock prices plunged, lenders called in margin loans.