Zynga 2014 Annual Report Download - page 105

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Table of Contents
The following table shows a summary of ZSU activity for the year ended December 31, 2014 (in thousands, except weighted-average fair
value and remaining term):
2011 Employee Stock Purchase Plan
Our 2011 Employee Stock Purchase Plan (“2011 ESPP”), was approved by our Board in September 2011 and by our stockholders in
November 2011 and amended in August 2012. On December 31, 2014, the maximum number of shares of our Class A common stock that were
authorized to be issued under our 2011 ESPP was 47.8 million shares. The number of shares of our Class A common stock reserved for future
issuance under our 2011 ESPP will automatically increase on January 1 of each year, beginning on January 1, 2012, and continuing through and
including January 1, 2021, by the lesser of 2% of the total number of shares of our capital stock outstanding as of December 31 of the preceding
calendar year or 25,000,000 shares.
Our 2011 ESPP permits participants to purchase shares of our Class A common stock through payroll deductions up to 15% of their
earnings. Unless otherwise determined by the administrator, the purchase price of the shares will be 85% of the lower of the fair market value of
our Class A common stock on the first day of an offering or on the date of purchase. The ESPP offers a twelve-month look-back. The ESPP
contains an automatic reset feature such that if the fair market value of our Class A common stock has decreased from the original offering date,
the offering will automatically terminate and all participants will be re-enrolled in the new, lower-priced offering. Participants may end their
participation at any time during an offering and will be refunded their accrued contributions that have not yet been used to purchase shares.
Participation ends automatically upon termination of employment.
As of December 31, 2014, there were $3.0 million of employee contributions withheld by the Company. In 2014, the Company recognized
$2.7 million of stock-based expense related to the 2011 ESPP.
Common Stock Reserved for Future Issuance
As of December 31, 2014, we had reserved shares of common stock for future issuance as follows (in thousands):
102
Outstanding ZSUs
Shares
Weighted
-
Average
Grant Date
Fair Value
Aggregate
Intrinsic Value of
Unvested ZSUs
Unvested as of December 31, 2013
66,997
$
4.96
$
254,589
Granted
53,218
3.32
Vested
(22,957
)
5.34
Forfeited and cancelled
(27,375
)
4.81
Unvested as of December 31, 2014
69,883
$
3.64
$
185,889
December 31, 2014
Stock options outstanding
39,460
ZSUs outstanding
69,883
2011 Equity Incentive Plan
75,430
2011 Employee Stock Purchase Plan
47,785
232,558