GNC 2008 Annual Report Download - page 105

Table of Contents
GENERAL NUTRITION CENTERS, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
cost, after taking into consideration estimated forfeitures, related to options outstanding was $4.4 million. At December 31, 2007 and 2006 the
net unrecognized compensation cost was $9.1 million and $4.0 million, respectively, and is expected to be recognized over a weighted average
period of approximately 4.6 years and 1.8 years, respectively.
In 2007, the Board of Directors of the Company of the Parent (the "Board") and Parent's stockholders approved and adopted the GNC
Acquisition Holdings Inc. 2007 Stock Incentive Plan (the "2007 Plan"). The purpose of the Plan is to enable the Parent to attract and retain
highly qualified personnel who will contribute to the success of the Company. The Plan provides for the granting of stock options, restricted
stock, and other stock-based awards. The Plan is available to certain eligible employees, directors, consultants or advisors as determined by
the administering committee of the Board. The total number of shares of our Parent's Class A common stock reserved and available for the
2007 Plan is 8.4 million shares. On February 12, 2008, the Board approved an additional 2.0 million shares to be made available to 2007 Plan.
Stock options under the Plan generally are granted with exercise prices at or above fair market value, typically vest over a four or five-year
period and expire ten years from date of grant. As of December 31, 2007 the Company had 6.7 million outstanding stock options under the
Plan. No stock appreciation rights, restricted stock, deferred stock or performance shares have been granted under the Plan.
Predecessor
In 2006, the Board of Directors of the Company and our Parent approved and adopted the GNC Corporation 2006 Omnibus Stock Incentive
Plan (the "2006 Plan"). In 2003 the Board approved and adopted the GNC Corporation (f/k/a General Nutrition Centers Holding Company) 2003
Omnibus Stock Incentive Plan (the 2003 "Plan"). Hereafter, collectively referred to as the ("Plans"). The purpose of the Plans is to enable the
Company to attract and retain highly qualified personnel who will contribute to the success of the Company. The Plans provide for the granting
of stock options, stock appreciation rights, restricted stock, deferred stock and performance shares. The Plans are available to certain eligible
employees, directors, consultants or advisors as determined by the administering committee of the Board. The total number of shares of our
Parent's Common Stock reserved and available for the 2006 Plan is 3.8 million shares and under the 2003 Plan is 4.0 million shares. Stock
options under the Plans generally are granted fair market value, vest over a four-year vesting schedule and expire after seven years from date
of grant. As of December 31, 2006 the Company had 4.8 million outstanding stock options under the Plans. If stock options are granted at an
exercise price that is less than fair market value at the date of grant, compensation expense is recognized immediately for the intrinsic value.
No stock appreciation rights, restricted stock, deferred stock or performance shares were granted under the Plans as of December 31, 2006.
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