Supercuts 2008 Annual Report Download - page 109

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
10. SHAREHOLDERS' EQUITY (Continued)
and directors of the Company. On March 8, 2007, the Company's Board of Directors approved an amendment to the 2004 Plan to permit the
granting and issuance of restricted stock units (RSUs). The 2004 Plan expires on May 26, 2014. A maximum of 2,500,000 shares of the
Company's common stock are available for issuance pursuant to grants and awards made under the 2004 Plan. Stock options, SARs and
restricted stock under the 2004 Plan generally vest pro rata over five years and have a maximum term of ten years. The cash-based performance
grants will be tied to the achievement of certain performance goals during a specified performance period, not less than one fiscal year in length.
The RSUs cliff vest after five years and payment of the RSUs is deferred until January 31 of the year following vesting. Unvested awards are
subject to forfeiture in the event of termination of employment. See Note 1 to the Consolidated Financial Statements for discussion of the
Company's measure of compensation cost for its incentive stock plans, as well as an estimate of future compensation expense related to these
awards.
On October 24, 2000, the shareholders of Regis Corporation adopted the Regis Corporation 2000 Stock Option Plan (2000 Plan), which
allows the Company to grant both incentive and nonqualified stock options and replaced the Company's 1991 Stock Option Plan (1991 Plan).
Total options covering 3,500,000 shares of common stock may be granted under the 2000 Plan to employees of the Company for a term not to
exceed ten years from the date of grant. The term may not exceed five years for incentive stock options granted to employees of the Company
possessing more than ten percent of the total combined voting power of all classes of stock of the Company or any subsidiary of the Company.
Options may also be granted to the Company's outside directors for a term not to exceed ten years from the grant date. The 2000 Plan contains
restrictions on transferability, time of exercise, exercise price and on disposition of any shares acquired through exercise of the options. Stock
options are granted at not less than fair market value on the date of grant. The Board of Directors determines the 2000 Plan participants and
establishes the terms and conditions of each option.
The Company also has outstanding stock options under the 1991 Plan, although the Plan terminated in 2001. The terms and conditions of
the 1991 Plan are similar to the 2000 Plan. Total options covering 5,200,000 shares of common stock were available for grant under the 1991
Plan and, as of June 30, 2001, all available shares were granted.
Common shares available for grant under the following plans as of June 30 were:
107
2008
2007
2006
(Shares in thousands)
2000 Plan
136
136
250
2004 Plan
1,459
1,748
1,971
1,595
1,884
2,221