Nokia 2011 Annual Report Download - page 271

There will be no settlement under the Performance Share Plan 2009 as neither of the threshold
performance criteria of EPS and Average Annual Net Sales Growth of this plan was met.
Restricted shares
During 2011, Nokia administered four global restricted share plans, the Restricted Share Plans 2008,
2009, 2010 and 2011, each of which, including its terms and conditions, has been approved by the
Board of Directors.
Restricted shares are used to recruit, retain and motivate selected high potential and critical talent who
are vital to the future success of Nokia. Restricted shares are used only for key management positions
and other critical talent.
All of the Group’s restricted share plans have a restriction period of three years after grant. Until the
Nokia shares are delivered, the participants will not have any shareholder rights, such as voting or
dividend rights, associated with the restricted shares. The restricted share grants are generally
forfeited if the employment relationship terminates with Nokia prior to vesting.
Restricted Shares Outstanding at December 31, 2011 (1)
Number of
Restricted
Shares
Weighted
average grant
date fair value
EUR(2)
Restricted Shares at January 1, 2009 ............................. 8 049 397
Granted ....................................................... 4288600 7.59
Forfeited ....................................................... 446695
Vested ........................................................ 2510300
Restricted Shares at December 31, 2009 .......................... 9 381 002
Granted ....................................................... 5801800 6.85
Forfeited ....................................................... 1492357
Vested ........................................................ 1330549
Restricted Shares at December 31, 2010 .......................... 12 359 896
Granted ....................................................... 8024880 3.15
Forfeited ....................................................... 2063518
Vested ........................................................ 1735167
Restricted Shares at December 31, 2011 (3) ......................... 16 586 091
(1) Includes also restricted shares granted under other than global equity plans. For further
information see “Other equity plans for employees” below.
(2) The fair value of restricted shares is estimated based on the grant date market price of the
Company’s share less the present value of dividends, if any, expected to be paid during the
vesting period.
(3) Includes 901 900 restricted shares granted in Q4 2008 under Restricted Share Plan 2008 that
vested on January 1, 2012.
Other equity plans for employees
In addition to the global equity incentive plans described above, Nokia has equity plans for Nokia-
acquired businesses or employees in the United States and Canada under which participants can
receive Nokia ADSs or ordinary shares. These equity plans do not result in an increase in the share
capital of Nokia.
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