Tucows 2015 Annual Report Download - page 208

On March 5, 2014, the Company announced a stock buyback program. Under this buyback program, the
Company may repurchase up to $20 million of the Company's common stock over the 12-month period that commenced
on March 4, 2014. The Company repurchased 6,092 shares under this program during the three months ended
March 31, 2014 for a total of $82,286. The Company repurchased 73,300 shares under this program during the three
months ended September 30, 2014 for a total of $1.1 million. The Company repurchased 79,392 shares under this program
during the year ended December 31, 2014 for a total of $1.2 million.
Our current equity-based compensation plans include provisions that allow for the “net exercise” of stock options
by all plan participants. In a net exercise, any required payroll taxes, federal withholding taxes and exercise price of the
shares due from the option holder can be paid for by having the option holder tender back to the Company a number of
shares at fair value equal to the amounts due. These transactions are accounted for by the Company as a purchase and
retirement of shares and are included in the table on the following page as common stock received in connection with
share-based compensation.
During the fiscal quarter ended December 31, 2015, certain employees and directors tendered 99,675 shares of
common stock having a market value of $23.43 per share, or $2.3 million in the aggregate, as payment for related payroll
tax obligations and exercise price of the shares due from the option holder arising from the vesting and settlement of stock
option awards.
The following table summarizes our share repurchase activity for the periods covered below:
Year Ended December 31,
2015 2014 2013
Common stock repurchased on the open market or through tender
offer
Number of shares 1,062,456 79,392 1,064,299
Aggregate market value of shares (in thousands) $ 23,616 $ 1,182 $ 6,538
Average price per share $ 22.23 $ 14.89 $ 6.14
Common stock received in connection with share-based
compensation
Number of shares 99,675 — —
Aggregate market value of shares (in thousands) $2,335$—$—
Average price per share $ 23.42 $ — $ —
12. Stock option plans:
The Company’s 1996 Stock Option Plan (the “1996 Plan”) was established for the benefit of the employees,
officers, directors and certain consultants of the Company. The maximum number of common shares which may be set
aside for issuance under the 1996 Plan was 2,787,500 shares, provided that the Board of Directors of the Company has the
right, from time to time, to increase such number subject to the approval of the shareholders of the Company when
required by law or regulatory authority. Generally, options issued under the 1996 Plan vest over a four-year period. The
1996 Plan expired on February 25, 2006; no options were issued from this plan after that date.
On November 22, 2006, the shareholders of the Company approved the Company’s 2006 Equity Compensation
Plan (the “2006 Plan”), which was amended and restated effective July 29, 2010 and which serves as a successor to the
1996 Plan. The 2006 Plan has been established for the benefit of the employees, officers, directors and certain consultants
of the Company. The maximum number of common shares which have been set aside for issuance under the 2006 Plan is
1.25 million shares. On October 8, 2010, the 2006 Plan was amended to increase the number of shares which have been set
aside for issuance by an additional 0.475 million shares to 1.725 million shares. In September 2015, the 2006 Plan was
amended to increase the number of shares which have been set aside for issuance by an additional 0.75 million shares to
2.475 million shares. Generally, options issued under the 2006 Plan vest over a four-year period and have a term not
exceeding seven years, except for automatic formula grants of non-qualified stock options, which vest after one year and
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