PACCAR 2009 Annual Report Download - page 67

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64
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
December 31, 2009, 2008 and 2007 (currencies in millions)
Fixed-rate loans that are not carried at approximate fair value are as follows:
At December 31, 2009 2008
CARRYING FAIR carrying fair
AMOUNT VALUE amount value
Assets:
Financial Services fixed-rate loans $ 2,491.1 $ 2,539.0 $ 3,011.1 $ 3,030.8
Liabilities:
Truck and Other fixed-rate debt 172.3 192.4 19.3 18.6
Financial Services fixed-rate debt 1,645.4 1,746.7 752.7 788.1
R. STOCK COMPENSATION PLANS
PACCAR has certain plans under which officers and key employees may be granted options to purchase shares of
the Company’s authorized but unissued common stock. Non-employee directors and certain officers may be
granted restricted shares of the Company’s common stock. The maximum number of shares of the Company’s
common stock authorized for issuance under these plans is 46.7 million, and as of December 31, 2009, the
maximum number of shares available for future grants was 17.7 million. Options outstanding under these plans
were granted with exercise prices equal to the fair market value of the Company’s common stock at the date of
grant. Options expire no later than ten years from the grant date and generally vest within three years. Stock option
activity is summarized below:
number exercise
of shares price*
Outstanding at 12/31/06 6,162,000 $ 19.50
Granted 824,200 44.56
Exercised (1,168,200) 14.79
Cancelled (109,000) 34.80
Outstanding at 12/31/07 5,709,000 23.79
Granted 734,300 45.74
Exercised (403,000) 16.95
Cancelled (241,000) 39.50
Outstanding at 12/31/08 5,799,300 26.39
Granted 1,182,800 30.81
Exercised (1,181,900) 14.99
Cancelled (232,500) 41.36
Outstanding at 12/31/09 5,567,700 $ 29.12
*Weighted Average
For options exercised, the aggregate difference between the market price and strike price on the date of exercise was
$22.7 in 2009, $10.8 in 2008 and $40.4 in 2007.