World Fuel Services 2007 Annual Report Download - page 79

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64435 TX 71WORLD FUEL SERVICES
ANNUAL REPORT
28-Feb-2008 00:13 EST
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PMT 2C
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9.9.26
WORLD FUEL SERVICES CORPORATION AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
The estimated fair value of stock and stock units issued to non-employee directors is based on the market
value of our common stock on the date of grant and recorded as non-employee director compensation expense.
Outstanding stock units issued to non-employee directors are included as capital in excess of par value in
shareholders’ equity.
In the aggregate, for 2005, an aggregate of 6,000 shares of our common stock and 6,000 shares of stock
units was issued to our non-employee directors as a group. The weighted average fair value of the common stock
granted during 2005 was $24.52 per share. There were approximately 12,000 stock units and 18,000 stock units
outstanding as of December 31, 2007 and 2006, respectively. The aggregate value of the outstanding stock units
was approximately $0.2 million and $0.4 million at December 31, 2007 and 2006, respectively, which is included
in capital in excess of par value in the accompanying consolidated balance sheets.
Share-Based Payment Plans
Plan Summary and Description
In 1994, our shareholders approved the 1993 Plan, which was replaced by the 2006 Plan. As of
December 31, 2007, there were 150,000 stock options outstanding under the 1993 Plan. The 1993 Plan will
remain in effect so long as there are outstanding stock options which have not been exercised and, accordingly,
the outstanding stock options continue to be governed by the 1993 Plan. At December 31, 2007, the outstanding
stock options under the 1993 Plan will expire between May 2008 and June 2010.
In 1997, our shareholders approved the 1996 Employee Stock Option Plan (the “1996 Plan”), as amended.
The 1996 Plan was replaced by the 2001 Omnibus Plan (the “2001 Plan”), as amended. As of December 31,
2007, there were 187,000 stock options outstanding under the 1996 Plan. The 1996 Plan will remain in effect so
long as there are outstanding stock options which have not been exercised and, accordingly, the outstanding stock
options continue to be governed by the 1996 Plan. At December 31, 2007, the outstanding stock options under
the 1996 Plan will expire between April 2008 and October 2011.
In 2001, our shareholders approved the 2001 Plan. The 2001 Plan was replaced by the 2006 Plan. As of
December 31, 2007, the following equity awards were outstanding under the 2001 Plan: 568,000 stock options;
948,000 SSARs; and 150,000 shares of unvested restricted stock. At December 31, 2007, the outstanding stock
options under the 2001 Plan will expire between April 2008 and July 2009, the outstanding SSARs under the
2001 Plan will expire between January 2010 and March 2011 and the unvested restricted stock under the 2001
Plan will vest between January 2008 and March 2011. The 2001 Plan will remain in effect so long as there are
outstanding stock options and SSARs which have not been exercised, or outstanding restricted stock which has
not vested and, accordingly, the share-based payment awards continue to be governed by the 2001 Plan.
In June 2006, our shareholders approved the 2006 Plan. The 2006 Plan is administered by the Compensation
Committee of the Board of Directors (the “Compensation Committee”). The purpose of the 2006 Plan is to
(i) attract and retain persons eligible to participate in the 2006 Plan; (ii) motivate participants, by means of
appropriate incentives, to achieve long-range goals; (iii) provide incentive compensation opportunities that are
competitive with those of other similar companies; and (iv) further align participants’ interests with those of
World Fuel’s other shareholders through compensation that is based on the value of our common stock. The goal
is to promote the long-term financial interest of World Fuel and its subsidiaries, including the growth in value of
our equity and enhancement of long-term shareholder return. The persons eligible to receive awards under the
2006 Plan are our employees, officers, and members of the Board of Directors, or any consultant or other person
who performs services for us.
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