Energizer 2010 Annual Report Download - page 98

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Exhibit 13
ENERGIZER HOLDINGS, INC.
(Dollars in millions, except per share and percentage data)
88
The following table summarizes RSE activity during the current year (shares in millions):
Shares
Weighted-Average
Grant Date Fair
Value
Nonvested RSE at October 1, 2009 1.83 $75.95
Granted 0.76 65.60
Vested (0.41) 69.24
Cancelled (0.40) 67.27
Nonvested RSE at September 30, 2010 1.78 $75.04
As of September 30, 2010, there was an estimated $37.1 of total unrecognized compensation
costs related to RSE granted to date, which will be recognized over a weighted-average period
of approximately 1.4 years. The amount recognized will vary as vesting for a portion of the
awards depends on the achievement of the established CAGR targets. The weighted-average
fair value for RSE granted in fiscal 2010, 2009 and 2008 was $65.6, $63.2 and $116.1,
respectively. The fair value of RSE vested in fiscal 2010, 2009 and 2008 was $25.8, $18.0 and
$10.4, respectively.
In October 2010, which is fiscal 2011, the Company granted RSE awards to certain employees
which included approximately 313,300 shares that vest ratably in most cases over four years or
upon death, disability or change of control. At the same time, the Company granted two RSE
awards to key executives. One grant includes approximately 86,700 shares and vests on the
third anniversary of the date of grant or upon death, disability or change of control. The second
grant includes approximately 202,300 shares which vests on the date that the Company publicly
releases its earnings for its 2013 fiscal year contingent upon the Company’s EPS CAGR for the
three year period ending on September 30, 2013. Under the terms of the award, 100% of the
grant vests if an EPS CAGR of at least 12% is achieved, with smaller percentages vesting if the
Company achieves an EPS CAGR between 5% and 12%. In addition, the terms of the
performance awards provide that the awards vest upon death, disability and in some instances
upon change of control. The total performance award expected to vest will be amortized over the
vesting period.
In November 2010, which is fiscal 2011, the Company granted two RSE awards to executive
officers. One grant includes approximately 47,900 shares and vests on the third anniversary of
the date of grant or upon death, disability or change of control. The second grant includes
approximately 111,700 shares which vests on the date that the Company publicly releases its
earnings for its 2013 fiscal year contingent upon the Company’s EPS CAGR for the three year
period ending on September 30, 2013. Under the terms of the award, 100% of the grant vests if
an EPS CAGR of at least 12% is achieved, with smaller percentages vesting if the Company
achieves an EPS CAGR between 5% and 12%. In addition, the terms of the performance
awards provide that the awards vest upon death, disability and in some instances upon change
of control. The total performance award expected to vest will be amortized over the vesting
period.
(8) Pension Plans and Other Postretirement Benefits
The Company has several defined benefit pension plans covering substantially all of its
employees in the U.S. and certain employees in other countries. The plans provide retirement
benefits based, in certain circumstances, on years of service and on earnings.