VMware 2015 Annual Report Download - page 84

TableofContents
VMware, Inc.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)
share-for-sharebasis.AsofDecember31,2015and2014,300.0millionsharesofClassAcommonstockwerereservedforconversion.
VMware Equity Plan
InJune2007,VMwareadoptedits2007EquityandIncentivePlan(the“2007Plan”).AsofDecember31,2015,thenumberofauthorizedsharesunderthe
2007Planwas121.6million.ThenumberofsharesunderlyingoutstandingequityawardsthatVMwareassumesinthecourseofbusinessacquisitionsarealso
addedtothe2007Planreserveonanas-convertedbasis.VMwarehasassumed4.2millionshares,whichaccordinglyhavebeenaddedtoauthorizedsharesunder
the2007Planreserve.
Awardsunderthe2007Planmaybeintheformofstock-basedawards,suchasrestrictedstockunits,orstockoptions.Generally,restrictedstockgrantsmade
underthe2007Planhaveathree-yeartofour-yearperiodoverwhichtheyvestandvest25%thefirstyearandsemi-annuallythereafter.VMware’sCompensation
andCorporateGovernanceCommitteedeterminesthevestingscheduleforallequityawards.Theexercisepriceforastockoptionawardedunderthe2007Plan
shallnotbelessthan100%ofthefairmarketvalueofVMwareClassAcommonstockonthedateofgrant.Mostoptionsgrantedunderthe2007Planvest25%
afterthefirstyearandmonthlythereafteroverthefollowingthreeyearsandexpirebetweensixandsevenyearsfromthedateofgrant.VMwareutilizesboth
authorizedandunissuedsharestosatisfyallsharesissuedunderthe2007Plan.AtDecember31,2015,therewereanaggregateof18.4millionsharesofcommon
stockavailableforissuancepursuanttofuturegrantsunderthe2007Plan.
VMware Stock Repurchases
OnJanuary27,2015,VMware’sboardofdirectorsauthorizedtherepurchaseofuptoonebilliondollarsofVMware’sClassAcommonstockthroughtheend
of2017.Stockwillbepurchasedfromtimetotime,intheopenmarketorthroughprivatetransactions,subjecttomarketconditions.Thetimingofanyrepurchases
andtheactualnumberofsharesrepurchasedwilldependonavarietyoffactors,includingVMware’sstockprice,cashrequirementsforoperationsandbusiness
combinations,corporate,legalandregulatoryrequirementsandothermarketandeconomicconditions.VMwareisnotobligatedtopurchaseanysharesunderits
stockrepurchaseprograms.PurchasescanbediscontinuedatanytimeVMwarebelievesadditionalpurchasesarenotwarranted.Allsharesrepurchasedunder
VMware’sstockrepurchaseprogramsareretired.
Thefollowingtablesummarizesstockrepurchaseauthorizations,whichwereopenorcompletedduringtheyearsendedDecember31,2015,2014and2013
(amountintableinmillions):
Authorization Date

Amount Authorized

Expiration Date

Status
January27,2015

$1,000

December31,2017

Open
August6,2014

1,000

December31,2016

CompletedinQ3'15
August7,2013

700

December31,2015

CompletedinQ4'14
November28,2012

250

December31,2014

CompletedinQ4'13
February29,2012

600

December31,2013

CompletedinQ2'13
AsofDecember31,2015,theauthorizedamountremainingforrepurchasewas$835million.
ThefollowingtablesummarizesstockrepurchaseactivityduringtheyearsendedDecember31,2015,2014and2013(aggregatepurchasepriceinmillions,
sharesinthousands):

For the Year Ended December 31,

2015

2014

2013
Aggregatepurchaseprice $ 1,125

$ 700

$ 508
ClassAcommonsharesrepurchased 13,495

7,642

6,636
Weighted-averagepricepershare $ 83.36

$ 91.61

$ 76.58
Theaggregatepurchasepriceofrepurchasedsharesincludescommissionsandisclassifiedasareductiontoadditionalpaid-incapital.
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