Blackberry 2000 Annual Report Download - page 29

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Included in common share purchase warrants are 139,000 warrants each of which entitles the holder to acquire one
common share for Cdn. $4.50 until August 12, 2002. During the year ended February 29, 2000, the Company issued a
common share purchase warrant which entitles the holder to acquire 75,000 common shares for $20.83 each from August
17, 2000 to August 17, 2004. This transaction was a non-cash transaction. The Company has determined that the fair
value of the warrant is $370 using the Black-Scholes option pricing model which assumes an expected life of one year,
volatility of 60% , risk free interest rate of 4.5% and no expected dividend yield.
(b) Stock option plan – The Company has an incentive stock option plan for all of its directors, officers and employees. The
option exercise price is the fair market value of the Company’s common shares at the date of grant. These options vest
over a period of five years after which they are exercisable for seven or ten years after the grant date. As at February 29,
2000, there were 7,243,420 options outstanding with exercise prices ranging from Cdn. $3.40 to Cdn. $101.00. Options
outstanding for 997,000 shares are vested. There are 1,358,150 shares available for future grants under the plan.
A summary of option activity since February 28, 1997 is shown below (in Canadian dollars):
Number Weighted Average
Options Outstanding (in 000’s) Range Exercise Price
Balance, February 28, 1997 3,626 $0.05 – $3.40 $ 3.15
Granted during the year 625 $3.40 – $7.25 5.24
Exercised during the year (20) $0.05 – $3.40 0.72
Balance, February 28, 1998 4,231 $0.05 – $7.25 $ 3.68
Granted during the year 2,860 $5.00 – $13.40 6.45
Exercised during the year (340) $0.05 – $6.25 1.14
Cancelled during the year (268) $0.05 – $6.15 6.10
Balance, February 28, 1999 6,483 $3.40 – $13.40 $ 4.87
Granted during the year 1,821 $11.55 – $101.00 24.77
Exercised during the year (826) $3.40 – $13.85 4.35
Cancelled during the year (235) $3.40 – $48.40 7.49
Balance, February 29, 2000 7,243 $3.40 – $101.00 $ 10.73
The weighted average characteristics of options outstanding as at February 29, 2000 are as follows
(in Canadian dollars):
Options Outstanding (in 000’s) Options Exercisable (in 000’s)
Number Weighted Number
Range of outstanding average Weighted outstanding Weighted
exercise at February 29, remaining average at February 29, Average
prices 2000 life in years exercise price 2000 exercise price
$ 3.40 – 5.10 3,027 6.66 $ 3.63 864 $ 3.45
$ 5.25 – 7.88 2,165 5.25 6.03 108 6.11
$ 8.00 – 12.00 847 6.15 11.08 79.11
$ 12.50 – 30.00 576 6.28 17.33 18 13.42
$ 32.00 – 67.00 501 6.68 45.99
$ 69.00 – 101.00 127 6.90 88.53
Total 7,243 997
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Research In Motion Limited ■Incorporated Under the Laws of Ontario ■United States dollars, in thousands except per share data