Virgin Media 2007 Annual Report Download - page 121

VIRGIN MEDIA INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
12. Stock-Based Compensation Plans (Continued)
A summary of the status of our stock option grants outstanding as of December 31, 2007, and of
the changes during the year ended December 31, 2007, is given below.
Weighted
Average
Exercise
Options Price
Outstanding—beginning of year .................................... 13,055,630 $19.31
Granted ..................................................... 3,737,782 24.65
Exercised .................................................... (3,298,250) 10.96
Forfeited or expired ............................................ (2,690,185) 25.04
Outstanding—end of year ........................................ 10,804,977 22.40
Exercisable at end of the year ..................................... 3,800,027 $18.47
The weighted-average grant-date fair value of options granted during the years ended
December 31, 2007, 2006 and 2005, excluding options converted on the merger with Telewest, was
$7.08, $7.76, and $9.56, respectively. The weighted-average grant-date fair value of options granted
during the year 2006 including options converted on the merger was $11.46. The total intrinsic value of
options exercised during the years ended December 31, 2007, 2006, and 2005, was £23.4 million,
£47.1million, and £17.7 million, respectively.
The aggregate intrinsic value of options outstanding as at December 31, 2007 was £8.0 million with
a weighted average remaining contractual term of 8.1 years. The aggregate intrinsic value of options
exercisable as at December 31, 2007 was £6.9 million with a weighted average remaining contractual
term of 7.0 years.
Non-vested Shares
As a result of the reverse acquisition of Telewest, each share of our common stock issued and
outstanding immediately prior to the effective date of the acquisition was converted into the right to
receive 2.5 shares of the new parent company.
A summary of the status of the company’s non-vested shares as of December 31, 2007, and of
changes during the year ended December 31, 2007, is given below.
Weighted
Average
Grant-date
Shares Fair value
Non-vested—beginning of year .................................... 2,435,396 $25.77
Granted ..................................................... 128,150 24.76
Vested ...................................................... (628,554) 26.02
Forfeited or expired ............................................ (532,083) 27.53
Non-vested—end of year ......................................... 1,402,909 $24.89
As of December 31, 2007, there was £2.7 million of total unrecognized compensation cost related
to non-vested share-based compensation arrangements granted for which a measurement date has been
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