Rayovac 2008 Annual Report Download - page 147

Table of Contents
Index to Financial Statements
SPECTRUM BRANDS, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
(In thousands, except per share amounts)
The following table summarizes the stock option transactions:
2008 2007 2006
Options
Weighted-
Average
Exercise
Price Options
Weighted-
Average
Exercise
Price Options
Weighted-
Average
Exercise
Price
Outstanding, beginning of period 1,510 $ 15.82 1,911 $ 14.65 1,988 $ 14.64
Granted — — — — — —
Exercised — — (149) 4.39 (28) 13.08
Forfeited (1,000) 16.18 (252) 13.68 (49) 15.46
Outstanding, end of period 510 $ 15.06 1,510 $ 15.82 1,911 $ 14.65
Options exercisable, end of period 420 $ 15.30 1,384 $ 15.98 1,659 $ 14.74
The following table summarizes information about options outstanding and options outstanding and exercisable as of September 30, 2008:
Options Outstanding
Options Outstanding and
Exercisable
Range of
Exercise Prices
Number of
Shares
Weighted-
Average
Remaining
Contractual Life
Weighted-
Average
Exercise
Price
Number of
Shares
Weighted-
Average
Exercise
Price
$11.32 – $14.60 425 3.82 years $ 13.56 341 $ 13.66
$16.19 – $21.50 11 2.94 18.87 8 18.39
$21.63 – $27.13 74 1.42 23.10 71 22.89
510 3.45 $ 15.06 420 $ 15.30
(x) Restructuring and Related Charges
Restructuring charges are recognized and measured according to the provisions of SFAS No. 146, “Accounting for Costs Associated with Exit or Disposal
Activities” (“SFAS 146”). Under SFAS 146, restructuring charges include, but are not limited to, termination and related costs consisting primarily of severance
costs and retention bonuses, and contract termination costs consisting primarily of lease termination costs. Related charges, as defined by the Company, include,
but are not limited to, other costs directly associated with exit and integration activities, including impairment of property and other assets, departmental costs of
full-time incremental integration employees, and any other items related to the exit or integration activities. Costs for such activities are estimated by
management after evaluating detailed analyses of the cost to be incurred. The Company presents restructuring and related charges on a combined basis. (See also
Note 16, Restructuring and Related Charges, for a more complete discussion of restructuring initiatives and related costs).
(y) Adoption of New Accounting Pronouncements
In March 2008, the Financial Accounting Standards Board (the “FASB”) issued SFAS No. 161, “Disclosures about Derivative Instruments and Hedging
Activities” (“SFAS 161”). This statement is intended to improve financial reporting of derivative instruments and hedging activities by requiring enhanced
disclosures. This statement is effective for financial statements issued for fiscal years, and interim periods within those fiscal years, beginning after
November 15, 2008. The Company does not believe the adoption of SFAS 161 will have a material impact on its financial position, results of operations or cash
flows.
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Source: Spectrum Brands, Inc, 10-K, December 10, 2008