Oracle 2010 Annual Report Download - page 196
Download and view the complete annual report
Please find page 196 of the 2010 Oracle 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.-
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
-
149
-
150
-
151
-
152
-
153
-
154
-
155
-
156
-
157
-
158
-
159
-
160
-
161
-
162
-
163
-
164
-
165
-
166
-
167
-
168
-
169
-
170
-
171
-
172
-
173
-
174
-
175
-
176
-
177
-
178
-
179
-
180
-
181
-
182
-
183
-
184
-
185
-
186 -
187 -
188 -
189 -
190 -
191 -
192 -
193 -
194 -
195 -
196 -
197 -
198 -
199 -
200 -
201 -
202 -
203 -
204 -
205 -
206 -
207
-
208
-
209
-
210
-
211
-
212
-
213
-
214
-
215
-
216
-
217
-
218
-
219
-
220
-
221
-
222
-
223
-
224
-
225
-
226
-
227
-
228
-
229
-
230
-
231
-
232
-
233
-
234
-
235
-
236
-
237
-
238
-
239
-
240
-
241
-
242
-
243
-
244
-
245
-
246
-
247
-
248
-
249
-
250
-
251
-
252
-
253
-
254
-
255
-
256
-
257
-
258
-
259
-
260
-
261
-
262
-
263
-
264
-
265
-
266
-
267
-
268
-
269
-
270
-
271
-
272
 |
 |
Assumed 1 $ 16.38
Exercised (78 ) $ 16.73
Canceled (31 ) $ 29.17
Balance, May 31, 2011 354 $ 19.53
Options outstanding that have vested and that are expected to vest as of May 31, 2011 are as follows:
Outstanding
Options
(in millions)
Weighted
Average
Exercise
Price
Weighted
Average
Remaining
Contract Term
(in years)
In-the-Money
Options as of
May 31, 2011
(in millions)
Aggregate
Intrinsic
Value(1)
(in millions)
Vested 166 $ 16.83 4.68 159 $ 2,948
Expected to vest(2) 170 $ 21.83 8.35 169 2,107
Total 336 $ 19.36 6.54 328 $ 5,055
(1) The aggregate intrinsic value was calculated based on the gross difference between our closing
stock price on the last trading day of fiscal 2011 of $34.22 and the exercise prices for all
in-the-money options outstanding, excluding tax effects.
(2) The unrecognized compensation expense calculated under the fair value method for shares
expected to vest (unvested shares net of expected forfeitures) as of May 31, 2011 was
approximately $788 million and is expected to be recognized over a weighted average period of
2.67 years. Approximately 18 million shares outstanding as of May 31, 2011 are not expected to
vest.
Stock-Based Compensation Expense and Valuation of Stock Options and Restricted Stock-Based Awards
Stock-based compensation is included in the following operating expense line items in our consolidated statements of
operations:
Year Ended May 31,
(in millions) 2011 2010 2009
Sales and marketing $ 87 $ 81 $ 67
Software license updates and product support 14 17 13
Hardware systems products 2 3 —
Hardware systems support 5 2 —
Services 16 14 12
Research and development 231 172 155
General and administrative 145 132 93
Acquisition related and other 10 15 15
Total stock-based compensation 510 436 355
Estimated income tax benefit included in provision for income taxes (170 ) (146 ) (122 )
Total stock-based compensation, net of estimated income tax benefit $ 340 $ 290 $ 233
Source: ORACLE CORP, 10-K, June 28, 2011 Powered by Morningstar® Document Research℠