Cisco 2003 Annual Report Download - page 57

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General Option Information A summary of option activity follows (in millions, except per-share amounts). The Company has, in connection
with the acquisitions of various companies, assumed the stock option plans of each acquired company. During fiscal 2003, a total of
approximately 4 million shares of the Company’s common stock has been reserved for issuance under the assumed plans and the
related options are included in the following table.
OPTIONS OUTSTANDING
Options Weighted-Average
Available Number Exercise Price
for Grant Outstanding per Share
BALANCE AT JULY 29, 2000 393 971 $ 24.19
Granted and assumed (320) 320 39.93
Exercised — (133) 7.43
Canceled 98 (98) 41.82
Additional shares reserved 351 — —
BALANCE AT JULY 28, 2001 522 1,060 29.41
Granted and assumed (282) 282 17.72
Exercised — (54) 6.99
Canceled 82 (82) 36.94
Additional shares reserved 342 — —
BALANCE AT JULY 27, 2002 664 1,206 27.17
Granted and assumed (199) 199 12.01
Exercised — (45) 7.14
Canceled 57 (57) 33.03
Additional shares reserved 4 — —
BALANCE AT JULY 26, 2003 526 1,303 $ 25.29
The following table summarizes significant ranges of outstanding and exercisable options as of July 26, 2003 (in millions, except
number of years and per-share amounts):
OPTIONS OUTSTANDING OPTIONS EXERCISABLE
Weighted-
Average Weighted- Weighted-
Remaining Average Average
Contractual Exercise Aggregate Exercise Aggregate
Range of Number Life Price Intrinsic Number Price Intrinsic
Exercise Prices Outstanding (In Years) per Share Value Exercisable per Share Value
$0.01 – 6.69 146 2.52 $ 4.62 $ 2,111 141 $ 4.81 $ 2,012
6.70 – 11.78 139 5.94 9.50 1,332 63 9.39 610
11.79 – 13.04 149 6.35 12.61 964 71 12.34 479
13.05 – 16.15 202 7.22 15.61 701 66 15.79 217
16.16 – 20.53 184 7.11 19.18 89 67 19.04 36
20.54 – 35.91 142 4.93 27.75 — 128 27.76 —
35.92 – 50.38 135 6.25 49.12 — 75 48.86 —
50.39 – 54.53 140 5.49 54.37 — 95 54.37 —
54.54 – 72.56 66 5.90 63.92 — 42 64.15 —
Total 1,303 5.84 $ 25.29 $5,197 748 $26.12 $3,354
The aggregate intrinsic value in the table above represents the total pre-tax intrinsic value based on Cisco’s closing stock price of
$19.08 as of July 25, 2003, that would have been received by the option holders had all option holders exercised their options as of
that date. The total number of in-the-money options exercisable as of July 26, 2003 was 382 million options. As of July 27, 2002,
634 million outstanding options were exercisable and the weighted average exercise price was $23.51.
2003 ANNUAL REPORT 55