Lenovo 2008 Annual Report Download - page 57

Download and view the complete annual report

Please find page 57 of the 2008 Lenovo 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 148

  • 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
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148

Directors’ rights to acquire shares or debentures (continued)
Long-term incentive program
The Company adopted the LTI Program on May 26, 2005, under which the Board or the trustee of the program shall select the
employees (including but not limited to the directors) of the Group for participation in the program, and determine the number of
shares to be awarded.
Details of the program and the movement in the number of awards for the year ended March 31, 2008 are set out in the Corporate
Governance section on pages 39 to 41.
Apar t from the share option schemes and the LTI Program, at no time during the year ended March 31, 2008 was the Company or any
of its subsidiaries a party to any arrangements to enable the directors of the Company to acquire benefits by means of acquisitions
of shares in, or debentures of, the Company or any body corporate.
Purchase, sale, redemption or conversion of the Company’s securities
During the year and up to the date of this report, the Company purchased 99,318,000 ordinary voting shares of HK$0.025 each in
the capital of the Company at prices ranging from HK$4.25 to HK$5.58 per share on The Stock Exchange of Hong Kong Limited
(the “Stock Exchange”).
Month/Year
Number of shares
repurchased
and cancelled
Highest price
per share
Lowest price
per share
Aggregate
consideration paid
(excluding expenses)
HK$ HK$ HK$
March 2008 70,090,000 5.10 4.25 330,568,740
April 2008 29,228,000 5.58 5.00 154,574,380
The repurchased shares were cancelled and accordingly, the issued share capital of the Company was diminished by the nominal
value thereof. The premium payable on repurchase was charged against the share premium account of the Company.
During the year, the trustee of the LTI Program purchased 100,000,000 ordinary voting shares from the market for award to employees
upon vesting. Details of the program are set out in the Corporate Governance section on page 39.
During the year and up to the date of this report, the following conversion of shares of the Company took place:
(1) On November 2, 2007, the holders of the convertible preferred shares comprising group companies of TPG Capital, Newbridge
Capital and General Atlantic exercised the conversion rights under the terms of issue of such shares and converted 955,001
convertible preferred shares into fully paid 350,459,078 ordinary voting shares of the Company.
(2) On May 8, 2008, the Company received a written notice from IBM for the conversion of 375,282,756 ordinary non-voting shares
and as a result of such conversion, the 375,282,756 ordinary non-voting shares were converted into same number of fully paid
ordinary voting shares of the Company on May 15, 2008.
Save as disclosed above, neither the Company nor any of its subsidiaries purchased, sold or redeemed any of the Company’s listed
securities and no further conversion notice was received during the above-mentioned period.
Directors
The directors during the year and up to the date of this report were:
Executive Directors
Mr. Yang Yuanqing
Mr. William J. Amelio
Non-executive Directors
Mr. Liu Chuanzhi
Mr. Zhu Linan
Ms. Ma Xuezheng (re-designated as a non-executive director on May 23, 2007)
Mr. James G. Coulter
Mr. William O. Grabe
Mr. Shan Weijian (resigned with effect from May 23, 2008)
Mr. Justin T. Chang
(Alternate director to Mr. James G. Coulter)
Mr. Vince Feng (resigned with effect from November 2, 2007)
(Alternate director to Mr. William O. Grabe)
Mr. Daniel A. Carroll (resigned with effect from May 23, 2008)
(Alternate director to Mr. Shan Weijian)
Lenovo Group Limited • Annual Report 2007/08 55