Blackberry 2004 Annual Report Download - page 51

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49
For the years ended February 28, 2004, March 1, 2003 and March 2, 2002
The weighted average characteristics of options outstanding as at February 28, 2004 are as follows:
Options Outstanding (000’s) Options Exercisable (000’s)
Number Weighted Number
Range of Outstanding at average remaining Weighted average Outstanding at Weighted average
exercise prices February 28, 2004 life in years exercise price February 28, 2004 exercise price
$ 2.43 - $ 3.62 1,192 2.7 $ 2.66 1,143 $ 2.62
$ 3.88 - $ 5.66 945 1.4 4.13 401 4.23
$ 5.93 - $ 8.78 498 2.0 7.75 191 7.78
$ 8.97 - $ 13.12 291 4.4 10.38 62 9.95
$ 13.55 - $ 20.29 2,010 5.4 16.40 74 16.87
$ 20.39 - $ 30.51 1,459 4.8 23.24 244 22.94
$ 30.68 - $ 45.51 423 4.3 37.41 69 37.65
$46.55 - $ 68.48 669 3.6 51.97 314 50.95
$70.44 and over 522 5.4 80.33 142 87.00
Total 8,009 4.0 $ 21.64 2,640 $ 16.90
12. Commitments and Contingencies
(a) Lease commitment
The Company is committed to annual lease payments under operating leases for premises as follows:
Real Estate Equipment Total
For the year ending
2005 $ 1,952 $ 213 $ 2,165
2006 1,842 75 1,917
2007 1,526 15 1,541
2008 1,382 – 1,382
2009 1,003 – 1,003
Thereafter 6,082 – 6,082
$ 13,787 $ 303 $ 14,090
For the period ended February 28, 2004, the Company incurred rental expense of $2,197
(March 1, 2003 - $2,272; March 2, 2002 - $1,857).
(b) Other Litigation
In addition to the NTP matter discussed in note 16,
the Company has been involved in patent litigation
with Good Technology, Inc. (“GTI”).
The Company and GTI (the “parties”) entered into
an agreement on March 26, 2004 whereby the
parties have signed a settlement and license
agreement and will consequently dismiss a series of
pending lawsuits between the two companies. The
companies have entered a royalty-bearing license
agreement whereby RIM will receive a lump-sum
settlement during the first quarter of fiscal 2005 as
well as ongoing quarterly royalties. The lump-sum
settlement amount was received subsequent to
February 28, 2004 and will be credited to
Intangible Assets in the first quarter of fiscal 2005,
as a recovery of costs incurred by the Company. The
settlement of this dispute will not be material to the
Company’s financial position.