Frontier Communications 2007 Annual Report Download - page 80

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CITIZENS COMMUNICATIONS COMPANY AND SUBSIDIARIES
Notes to Consolidated Financial Statements
The following summary presents information regarding outstanding stock options and changes with regard
to options under the MEIP and EIP plans:
Shares
Subject to
Option
Weighted
Average
Option Price
Per Share
Weighted
Average
Remaining
Life in Years Aggregate Intrinsic
Value
Balance at January 1, 2005 ......... 12,411,000 $ 11.15 6.11 $ 38,162,000
Options granted .............. 183,000 $ 11.58
Options exercised ............ (4,317,000) $ 10.52 $ 12,730,000
Options canceled, forfeited or
lapsed .................... (292,000) $ 10.48
Balance at December 31, 2005 ...... 7,985,000 $ 11.52 5.32 $ 13,980,000
Options granted .............. 22,000 $ 12.55
Options exercised ............ (2,695,000) $ 9.85 $ 9,606,000
Options canceled, forfeited or
lapsed .................... (70,000) $ 10.13
Balance at December 31, 2006 ...... 5,242,000 $ 12.41 4.36 $ 14,490,000
Options granted .............. — $ —
Options exercised ............ (1,254,000) $ 10.19 $ 6,033,000
Options canceled, forfeited or
lapsed .................... (33,000) $ 10.79
Balance at December 31, 2007 ...... 3,955,000 $ 13.13 3.4 $ 5,727,000
The following table summarizes information about shares subject to options under the MEIP and EIP plans
at December 31, 2007:
Options Outstanding Options Exercisable
Number
Outstanding Range of
Exercise Prices
Weighted
Average
Exercise
Price
Weighted
Average
Remaining
Life in Years Number
Exercisable
Weighted
Average
Exercise
Price
254,000 $ 6.45 – 6.67 $ 6.51 0.98 254,000 $ 6.51
433,000 8.19 – 8.19 8.19 4.37 433,000 8.19
17,000 8.80 – 9.68 9.11 0.78 17,000 9.11
570,000 10.44 – 10.44 10.44 5.41 570,000 10.44
213,000 11.15 – 11.15 11.15 2.80 213,000 11.15
489,000 11.79 – 11.79 11.79 3.38 489,000 11.79
175,000 11.90 – 14.27 13.41 5.86 158,000 13.45
582,000 15.02 – 15.02 15.02 2.75 582,000 15.02
640,000 15.94 – 16.74 16.67 2.73 640,000 16.67
582,000 18.46 – 18.46 18.46 2.75 582,000 18.46
3,955,000 $ 6.45 – 18.46 $ 13.13 3.40 3,938,000 $ 13.13
The number of options exercisable at December 31, 2006 and 2005 were 4,791,000 and 6,548,000, with a
weighted average exercise price of $12.58 and $11.92, respectively.
Cash received upon the exercise of options during 2007, 2006 and 2005 was $13.8 million, $27.2 million
and $47.6 million, respectively. Total remaining unrecognized compensation cost associated with unvested stock
options at December 31, 2007 was $0.1 million and the weighted average period over which this cost is expected
to be recognized is approximately one year.
F-30