Occidental Petroleum 2001 Annual Report Download - page 67

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BEGINNING BALANCE 18,217 $ 21.532 13,033 $ 23.249 8,169 $ 24.065
Granted or issued 11,039 $ 26.171 5,577 $ 20.144 5,221 $ 19.577
Exercised (3,395) $ 22.398 (93) $ 19.968 (7) $ 17.750
Canceled or expired (471) $ 23.495 (300) $ 25.018 (350) $ 26.874
------- ------- -------
ENDING BALANCE 25,390 $ 23.396 18,217 $ 21.532 13,033 $ 23.249
OPTIONS EXERCISABLE AT YEAR END 15,023 8,374 5,761
=============================== ======= ======= =======
The following is a summary of stock options outstanding at December 31,
2001 (shares in thousands):
OPTIONS OUTSTANDING OPTIONS EXERCISABLE
--------------------------------------- ----------------------------------
WEIGHTED AVERAGE WEIGHTED WEIGHTED
RANGE OF REMAINING AVERAGE AVERAGE
EXERCISE PRICES OUTSTANDING CONTRACTUAL LIFE EXERCISE PRICE EXERCISABLE EXERCISE PRICE
================= ============= ================== ================ ============= ================
$14.88 to $20.06 6,710 7.69 $ 19.19 2,911 $ 18.63
$20.50 to $23.88 4,266 6.53 $ 21.17 4,041 $ 21.10
$24.38 to $29.44 14,414 7.36 $ 26.01 8,071 $ 25.43
----------------- ------------- ------------------ ---------------- ------------- ----------------
55
RESTRICTED STOCK AWARDS
Pursuant to the 2001 Incentive Compensation Plan and the 1995 Incentive
Stock Plan, employees have been awarded Occidental restricted common stock at
the par value of $.20 per share, with such shares vesting after three or four
years, respectively, or earlier under certain conditions. The related expense is
amortized over the vesting period. In 2001, 275,384 shares were awarded at a
weighted-average grant-date value of $24.59; in 2000, 40,000 shares were awarded
at a weighted-average grant-date value of $21.875 per share; in 1999, 223,902
shares were awarded at a weighted-average grant-date value of $20.563 per share;
85,451 shares were awarded in 1998 at a weighted-average grant-date value of
$28.519 per share; 149,885 shares were awarded in 1997 at a weighted-average
grant-date value of $23.375 per share; 171,649 shares were awarded in 1996 at a
weighted-average grant-date value of $21.431 per share; and 21,339 shares were
awarded in 1995 at a weighted-average grant-date value of $20.875 per share.
PERFORMANCE STOCK AWARDS AND OPTIONS
Performance stock awards have been made to various executive officers
pursuant to the 2001 Incentive Compensation Plan and the 1995 Incentive Stock
Plan. The number of shares of common stock to be received, under these awards,
by such officers at the end of the performance period will depend on the
attainment of performance objectives based either on a peer company comparison
of total stockholder return for such period, or in the case of segment
employees, a combination of total stockholder return and return on assets of the
segment. The grantees will receive shares of common stock in an amount ranging
from zero to 200 percent of the Target Share Award (as such amount is defined in
the grant). The shares vest or fail to vest by the end of the four-year
performance term. In 2001, awards for 336,642 target shares were granted at a
weighted-average grant-date value of $24.27; in 2000, awards for 375,654 target
shares were granted at a weighted-average grant-date value of $21.625 per share;
in 1999, awards for 502,531 target shares were granted at a weighted-average
grant-date value of $16.875 per share; 134,705 target shares were granted in
1998 at a weighted-average grant-date value of $29.3125 per share; awards for
97,832 target shares were granted in 1997 at a weighted-average grant-date value
of $23.375 per share; and 101,630 target shares were granted in 1996 at a
weighted-average grant-date value of $21.375 per share. In 2001 and 2000, 47,782
and 101,630 shares, respectively, were issued for the target shares granted in
1997 and 1996, respectively.
In 1997, 4,655,000 Performance Stock Options were granted to certain
executive officers at an exercise price of $25.375. Under the terms of these
grants, as amended in 1999, these options expire 10 years from the grant date
and will become vested upon the earlier of the following events occurring, at
which time the grants become fully vested and exercisable: (a) for twenty
consecutive trading days, the New York Stock Exchange closing price of