Radio Shack 2004 Annual Report Download - page 52

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Stock Option Activity: See tables below for a summary of stock option transactions under our stock option plans and informa-
tion about fixed price stock options.
Summary of Stock Option Transactions
2004 2003 2002
Weighted Weighted Weighted
Average Average Average
Exercise Exercise Exercise
(Share amounts in thousands) Shares Price Shares Price Shares Price
Outstanding at beginning of year 23,889 $32.85 22,816 $34.32 22,869 $34.34
Grants 1,256 34.97 3,541 21.31 1,515 28.80
Exercised (2,399) 21.17 (755) 20.72 (525) 17.50
Forfeited (1,843) 38.87 (1,713) 33.85 (1,043) 35.23
Outstanding at end of year 20,903 $33.79 23,889 $32.85 22,816 $34.32
Exercisable at end of year 17,295 $35.27 17,438 $34.99 14,227 $34.25
Fixed Price Stock Options
Options Outstanding Options Exercisable
Weighted Weighted Weighted
Shares Average Average Shares Average
(Share amounts in thousands) Outstanding at Remaining Exercise Exercisable at Exercise
Range of Exercise Prices Dec. 31, 2004 Contractual Life Price Dec. 31, 2004 Price
$ 10.05 – 23.00 3,823 4.73 years $19.69 1,873 $18.48
25.00 – 28.12 2,807 3.94 26.48 2,792 26.47
28.55 – 37.19 4,740 4.67 30.69 3,097 29.13
38.35 – 38.35 4,237 6.14 38.35 4,237 38.35
38.41 – 69.34 5,296 5.01 46.96 5,296 46.96
$ 10.05 – 69.34 20,903 4.97 years $33.79 17,295 $35.28
or stock acquired under an NQ exercise that would otherwise
vest. Cash deferrals may be made in our common stock or
mutual funds; however, restricted stock deferrals and defer-
rals of stock acquired under an NQ exercise may only be
made in our common stock. We match 12% of salary and
bonus deferrals in the form of our common stock. We will
match an additional 25% of salary and bonus deferrals if the
deferral period exceeds five years and the deferrals are invest-
ed in our common stock. Payment of deferrals will be made
in cash or our common stock in accordance with the employ-
ee’s specifications at the time of the deferral; payments to
the employee will be in a lump sum or in annual installments
not to exceed 20 years.
We contributed $0.9 million, $0.4 million and $0.5 million to
the Compensation Plans for the years ended December 31,
2004, 2003 and 2002, respectively.
Restricted Stock: We may also use restricted stock grants
to compensate certain of our employees. As of December
31, 2004, no shares of restricted stock were outstanding.
Compensation expense related to restricted shares is
recognized ratably over the related service period. There
was no expense for the years ended December 31, 2004,
2003 or 2002.
NOTE 17 Deferred Compensation Plans
The Executive Deferred Compensation Plan and the Executive
Deferred Stock Plan (“Compensation Plans”) became effective
on April 1, 1998. These plans permit employees who are cor-
porate or division officers to defer up to 80% of their base
salary and/or bonuses. Certain executive officers may defer
up to 100% of their base salary and/or bonuses. In addition,
officers are permitted to defer delivery of any restricted stock
Notes to Consolidated Financial Statements
RadioShack Corporation and Subsidiaries
50 AR2004