Airtel 2012 Annual Report Download - page 188

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BHARTI AIRTEL ANNUAL REPORT 2011-12
Options Granted Options Excercised
Entity Plan Options Remaining
Outstanding Contractual
(thousands) term(years) Options Fair Value Options Share Price
Bharti Airtel 2001 Plan - - - - - -
Bharti Airtel 2004 Plan - - - - - -
Bharti Airtel Superpot - - - - - -
Bharti Airtel 2006 Plan 1,445 1.17 to 6.86 239 347.40 594 376.35
Bharti Airtel 2005 Plan 2,602 0.44 to 6.10 28 246.98 597 376.88
Bharti Airtel 2008 Plan and
Annual grant plan 4,835 3.25 to 6.17 34 170.18 246 378.51
Bharti Airtel PSP 2009 Plan 1,256 4.34 to 6.34 40 432.50 - -
Bharti Airtel LTIP Plan 406 6.35 422 415.47 - -
Bharti Airtel LTIP Africa 418 2.35 418 330.91 - -
Bharti Airtel Special ESOP & RSU 2,362 5.01 to 6.10 361 355.13 578 386.44
Bharti Infratel 2008 Plan 3,333 3.42 to 6.33 80 475.00 - -
Indus Towers Ltd#2009 Plan 0.91 4.42 to 6.75 0.08 273,703 - -
The following table summarizes information about options exercised and granted during the year and about options
outstanding and their remaining contractual life:
# Represents 42% of the total number of shares, under the option plan of the Joint Venture Company.
Particulars Year ended Year ended
March 31, 2012 March 31, 2011
Risk free interest rates 7.76 to 9.05% 7.14% to 8.84%
Expected life 27 to 60 months 48 to 72 months
Volatility 41.00 to 52.43% 37.26% to 58%
Dividend yield 0 to 0.30% 0 to 0.39%
Wtd average share price on the date of grant exluding Infratel and Indus 361.83 to 424.11 256.95 to 368.00
Wtd average share price on the date of grant - Infratel 658 658
Wtd average share price on the date of grant - Indus 422,650 422,650
The fair value of options granted was estimated on the date of grant using the Black-Scholes/Lattice/Monte Carlo
Simulation valuation model with the following assumptions:
The expected life of the share option is based on historical data & current expectation and not necessarily indicative of
exercise pattern that may occur.
The volatility of the options is based on the historical volatility of the share price since the Group’s equity shares became
publicly traded.
During the years ended March 31, 2012 and March 31, 2011, Bharti Airtel Employee Welfare Trust (‘trust’) (a trust set up for
administration of ESOP Schemes of the Company) has acquired 1,507,000 and 1,157,025 Bharti Airtel equity shares from the
open market at an average price of ` 360.94 and ` 347.44 per share and has transferred 1,420,932 and 578,726 shares to the
employees of the Company upon exercise of stock options, under ESOP Scheme 2005, respectively.
Wtd Avg Wtd Avg