Nautilus 2003 Annual Report Download - page 55

Download and view the complete annual report

Please find page 55 of the 2003 Nautilus 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 93

  • 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

Table of Contents
A summary of the status of the Company’s stock option plans as of December 31, 2003, 2002 and 2001, and changes during the years
ended on those dates is presented below.
2003
2002
2001
Shares
Weighted
-
Average
Exercise
Price
Shares
Weighted
-
Average
Exercise
Price
Shares
Weighted
-
Average
Exercise
Price
Outstanding at beginning of
year
1,599,987
$
17.26
1,726,381
$
12.79
1,694,195
$
7.32
Granted
1,430,000
9.36
275,075
33.25
691,650
19.50
Forfeited or canceled
(132,633
)
21.79
(39,242
)
22.70
(91,901
)
16.73
Exercised
(231,851
)
4.22
(362,227
)
7.53
(567,563
)
4.00
Outstanding at end of year
2,665,503
$
13.92
1,599,987
$
17.26
1,726,381
$
12.79
Options exercisable at end of
year
792,796
650,753
540,345
The following table summarizes information about stock options outstanding as of December 31, 2003:
Options Outstanding
Options Exercisable
Range of
Exercise
Prices
Number
Outstanding
Average
Remaining
Contractual
Life (Years)
Weighted
-
Average
Exercise
Price
Number of
Shares
Exercisable
Weighted
-
Average
Exercise
Price
$6.07
-
$
6.98
100,809
0.7
$
6.24
90,684
$
6.16
$8.39
-
$
12.80
1,400,500
9.4
9.28
—
—
$13.56
-
$
13.78
591,069
2.0
13.65
398,553
13.62
$16.06
-
$23.02
236,150
2.4
20.67
162,900
20.38
$24.28
-
$30.42
112,500
2.8
25.09
62,667
25.04
$32.80
-
$37.70
224,475
3.5
34.35
77,992
34.34
$6.07
-
$
37.70
2,665,503
6.1
$
13.92
792,796
$
17.10
3.
OPERATING SEGMENTS
The Company’s operating segments include its direct, commercial/retail, and corporate segments. The direct segment includes all
products and related operations involved in marketing to consumers through a variety of direct marketing channels. The Bowflex and
TreadClimber lines of fitness equipment, the Nautilus Sleep Systems line of premium air support sleep systems, and the Champion
Nutrition line of nutritional supplements are the principal products in the Company’s direct segment.
The commercial/retail segment includes all products and related operations that do not involve direct marketing to consumers. Products in
this segment include Nautilus, Schwinn, StairMaster, Trimline, and Bowflex commercial and retail fitness equipment and accessories.
Beginning in 2003, the Company augmented its segment reporting with the addition of a separate reporting segment to reflect the
activities associated with the corporate holding company. Included in the segment information is comparative data assuming the
corporate holding company existed at January 1, 2001. Accounting policies used by the segments are the same as those disclosed in Note
1.
-
54
-