Columbia Sportswear 2009 Annual Report Download - page 67

Download and view the complete annual report

Please find page 67 of the 2009 Columbia Sportswear annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 85

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85

COLUMBIA SPORTSWEAR COMPANY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
The following table shows the weighted average assumptions for the year ended December 31:
2009 2008 2007
Expected term ................................................ 4.71 years 4.43 years 5.04 years
Expected stock price volatility .................................... 29.52% 25.03% 28.97%
Risk-free interest rate ........................................... 1.73% 2.54% 4.55%
Expected dividend yield ......................................... 2.17% 1.57% 1.01%
Weighted average grant date fair value ............................. $6.55 $ 8.60 $ 18.87
The following table summarizes stock option activity under the Plan:
Number of
Shares
Weighted
Average
Exercise
Price
Weighted
Average
Remaining
Contractual
Life
Aggregate
Intrinsic
Value (in
thousands)
Options outstanding at January 1, 2007 ......................... 1,579,150 $41.93 6.78 $21,761
Granted .................................................. 263,272 61.44
Cancelled ................................................ (81,160) 53.11
Exercised ................................................. (402,845) 36.37
Options outstanding at December 31, 2007 ...................... 1,358,417 46.70 6.54 4,497
Granted .................................................. 640,008 40.98
Cancelled ................................................ (228,300) 49.49
Exercised ................................................. (116,486) 32.42
Options outstanding at December 31, 2008 ...................... 1,653,639 45.10 6.73 1,042
Granted .................................................. 387,505 29.75
Cancelled ................................................ (252,303) 44.90
Exercised ................................................. (28,668) 24.76
Options outstanding at December 31, 2009 ...................... 1,760,173 $42.08 6.25 $ 4,599
Options vested and expected to vest at December 31, 2009 ......... 1,707,304 $42.31 6.18 $ 4,289
Options exercisable at December 31, 2009 ...................... 1,069,713 $45.56 4.94 $ 1,209
The aggregate intrinsic value in the table above represents pre-tax intrinsic value that would have been
realized if all options had been exercised on the last business day of the period indicated, based on the
Company’s closing stock price on that day. Total stock option compensation expense for the years ended
December 31, 2009, 2008 and 2007 was $2,861,000, $3,329,000 and $4,417,000, respectively. At December 31,
2009, 2008 and 2007, unrecognized costs related to stock options totaled approximately $4,609,000, $6,473,000
and $6,515,000, respectively, before any related tax benefit. The unrecognized costs related to stock options are
being amortized over the related vesting period using the straight-line attribution method. Unrecognized costs
related to stock options at December 31, 2009 are expected to be recognized over a weighted average period of
2.46 years. The aggregate intrinsic value of stock options exercised was $333,000, $1,071,000 and $10,953,000
for the years ended December 31, 2009, 2008 and 2007, respectively. The total cash received as a result of stock
option exercises for the years ended December 31, 2009, 2008 and 2007 was $710,000, $3,731,000 and
$14,604,000, respectively.
60