Nissan 2009 Annual Report Download - page 71

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Nissan Annual Report 2009 69
2) Per share prices
Company name The Company The Company The Company The Company The Company The Company The Company
2003 Stock 2004 Stock 2005 Stock 2006 Stock 2007 Stock 2007 Stock 2008 Stock
Options Options Options Options Options [1st] Options [2nd] Options
Exercise price (Yen) 932 1,202 1,119 1,526 1,333 1,205 975
Average price per
share upon exercise
(Yen) — — — — — — —
Fair value per share
at grant date (Yen) — — — 222.30 136.29 205.43 168.99
Company name Nissan Shatai Co., Ltd. Nissan Shatai Co., Ltd.
2003 Stock Options 2004 Stock Options
Exercise price (Yen) 421 759
Average price per share upon
exercise (Yen) — 829
Fair value per share at grant date (Yen) — —
Company name Calsonic Kansei Corporation Calsonic Kansei Corporation Calsonic Kansei Corporation
2003 Stock Options 2004 Stock Options 2005 Stock Options
Exercise price (Yen) 737 844 759
Average price per share upon
exercise (Yen) — — —
Fair value per share at grant date (Yen) — — —
3. Method for estimating the per share fair value of stock options
The per share fair value of the 2008 stock options granted during the fiscal year ended March 31, 2009, was estimated as follows.
1) Technique of estimation used: Binomial model
2) Basic factors taken into account for the estimation:
2008 Stock Options
Expected volatility of the share price (Note 1) 30.00%
Expected life of the option (Note 2) 6 years
Expected dividend (Note 3) ¥42
Risk-free interest rate (Note 4) 1.35%
Notes: 1. The volatility of the share price for the expected life of the option is estimated by taking into account the volatility of the entire stock market, the
characteristics of the Company’s stock and the fair value of the stock options, while drawing upon the actual share prices in the past.
2. Because there is not enough data to make a reasonable estimation, the expected life of the option is based on the assumption that the options are evenly
exercised on every June 1, September 1, December 1 and March 1 during the exercise period.
3. According to the Nissan GT 2012 dividend policy at grant date.
4. The risk-free interest rate is the yield on government bonds for the period that corresponds to the remaining life of the option.
4. Estimation of the number of stock options vested
Because it is difficult to reasonably estimate the number of options that will expire in the future, historical data is reflected for the options that
have not yet been vested, and the number of options that have actually forfeited is reflected for the options that have already been vested.