AMD 1993 Annual Report Download - page 381

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
A summary of the stock option plans at December 26, 1993 is shown below.
Thousands except per share amounts
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Options:
Outstanding at beginning of year 11,927
Granted 2,088
Canceled (305)
Exercised (2,749)
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Outstanding at end of year 10,961
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Exercisable at beginning of year 5,289
Exercisable at end of year 4,852
Available for grant at beginning of year 2,921
Available for grant at end of year 963
Aggregate exercise price of options
outstanding at end of year $ 131,374
Average exercise price of options
outstanding at end of year $ 11.99
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Stock Appreciation Rights Plans. The company maintains three stock
appreciation rights plans under which stock appreciation rights (SARs) either
have been or may be granted to key employees. The number of SARs exercised plus
common stock issued under the stock option plans may not exceed the number of
shares authorized under the stock option plans. SARs may be granted in tandem
with outstanding stock options, in tandem with future stock option grants or
independently of any stock options. Generally, the terms of SARs granted under
the plans are similar to those of options granted under the stock option plans,
including exercise prices, exercise dates and expiration dates. To date, the
company has granted only limited SARs, which become exercisable only in the
event of certain changes in control of the company.
Stock Purchase Plan. The company has a stock purchase plan that allows
participating employees to purchase, through payroll deductions, shares of the
company's common stock at 85 percent of the fair market value at specified
dates. At December 26, 1993, 5,621 employees were eligible to participate in
the plan and 1,361,252 common shares remained available for issuance under the
plan. A summary of stock purchased under the plan is shown below.
Thousands except
employee participants 1993 1992 1991
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Aggregate purchase price $ 6,413 $ 4,614 $ 4,207
Shares purchased 387 483 689
Employee participants 1,684 1,349 1,065
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Profit Sharing Program. The company has a profit sharing program to which the
Board of Directors has authorized semiannual contributions. Profit sharing
contributions were $33.9 million in 1993, $30.0 million in 1992 and $12.1
million in 1991.
Retirement Savings Plan. The company has a retirement savings plan, commonly
known as a 401(k) plan, that allows participating United States employees to
contribute from 1 percent to 15 percent of their pre-tax salary subject to
I.R.S. limits. The company makes a matching contribution calculated at 50 cents
on each dollar of the first 3 percent of participant contributions, to a
maximum of 1.5 percent of eligible compensation. The company's contributions to
the 401(k) plan were $3.2 million, $2.7 million and $2.6 million for 1993, 1992
and 1991, respectively. There are three investment funds in which each employee
may invest contributions in increments of 10 percent.
Restricted Stock Award Plan. The company established the 1987 restricted stock
award plan under which up to 2 million shares of common stock may be issued to
employees, subject to terms and conditions determined at the discretion of the
Board of Directors. The company entered into agreements to issue 19,000 and
564,650 shares in 1992 and 1991, respectively. To date, agreements covering
210,212 shares have been canceled without issuance and 1,049,964 shares have
been issued pursuant to prior agreements. At December 26, 1993, agreements
covering 235,000 shares were outstanding under the plan and 715,036 shares
remained available for future awards. Outstanding awards vest under varying
Source: ADVANCED MICRO DEVIC, 10-K, March 07, 1994