United Airlines 2007 Annual Report Download - page 105

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UAL Corporation and Subsidiary Companies
Combined Notes to Consolidated Financial Statements (Continued)
(3) UAL Common Stockholders' Equity (Continued)
Changes in the number of shares of UAL common stock outstanding during the year ended December 31, 2007, the eleven month period ended
December 31, 2006, the one month period ended January 31, 2006 and the year ended December 31, 2005 were as follows:
Successor
Predecessor
UAL
Year Ended
December 31, 2007
Period from
February 1 to
December 31, 2006
Period from
January 1 to
January 31, 2006
Year Ended
December 31, 2005
Shares outstanding at beginning of period, net
of treasury shares 112,280,629 116,220,959 116,220,959 116,220,959
Cancellation of Predecessor UAL stock — (116,220,959) — —
Issuance of Successor UAL stock to
creditors 3,849,389 108,347,814 — —
Issuance of Successor UAL stock to
employees 1,155,582 4,240,526 — —
Issuance of Successor UAL stock to
directors — 100,000 — —
Forfeiture of non-vested Successor
UAL stock (104,733) (270,934) — —
Shares acquired for treasury (259,818) (136,777) — —
Shares outstanding at end of period 116,921,049 112,280,629 116,220,959 116,220,959
Treasury shares at beginning of period 136,777 —
Shares acquired for treasury 259,818 136,777
Treasury shares at end of period 396,595 136,777
At December 31, 2007, 2.8 million of the initial 115 million shares authorized remain to be distributed to employees and holders of previously allowed
claims and disputed claims that are pending final resolution. All treasury shares were MEIP shares acquired either for tax withholding obligations or as
consideration under an employment agreement. Forfeited MEIP shares or MEIP shares that are settled for cash or stock are automatically available again for
issuance under the MEIP. See Note 5, "Share-Based Compensation Plans" for additional information related to the remaining grants available to be awarded
under the MEIP and DEIP and outstanding option awards, neither of which are included in outstanding shares above.
(4) UAL Per Share Amounts
In accordance with Statement of Financial Accounting Standards No. 128, Earnings per Share ("SFAS 128"), basic per share amounts were computed by
dividing earnings (loss) available to common stockholders by the weighted-average number of shares of UAL common stock outstanding. Approximately
2.8 million and 6.7 million UAL shares remaining to be issued to unsecured creditors and employees under the Plan of Reorganization are included in
outstanding basic shares for 2007 and the eleven month period ended December 31, 2006, respectively, as the necessary conditions for issuance have been
satisfied. UAL's $500 million of 6% senior notes are callable at any time at 100% of par value, and can be redeemed with either cash or UAL common stock at
UAL's option. These notes
97
Source: UNITED AIR LINES INC, 10-K, February 29, 2008