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Table of Contents
AVNET, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)
The following is a summary of the changes in non-vested stock options for the fiscal year ended June 28, 2008:
As of June 28, 2008, there was $10,577,000 of total unrecognized compensation cost related to non-vested
awards granted under the option plans, which is expected to be recognized over a weighted-average period of
3.1 years. The total fair values of shares vested during fiscal 2008, 2007 and 2006 were $4,969,000, $7,901,000 and
$10,689,000, respectively.
Cash received from option exercises during fiscal 2008, 2007 and 2006 totaled $5,111,000, $54,357,000 and
$30,879,000, respectively. The impact of these cash receipts is included in “Other, net, financing activities” in the
accompanying consolidated statements of cash flows.
Incentive shares
Delivery of incentive shares, and the associated compensation expense, is spread equally over a five-year period
and is subject to the employee’s continued employment by the Company. As of June 28, 2008, 1,035,148 shares
previously awarded have not yet been delivered. Pre-tax compensation expense associated with this program was
$12,074,000, $8,231,000 and $4,586,000 for fiscal years 2008, 2007 and 2006, respectively.
The following is a summary of the changes in non-vested incentive shares for the fiscal year ended June 28,
2008:
As of June 28, 2008, there was $24,734,000 of total unrecognized compensation cost related to non-vested
incentive shares, which is expected to be recognized over a weighted-average period of 2.6 years. The total fair
values of shares vested during fiscal 2008, 2007 and 2006 were $9,097,000, $6,027,000 and $3,800,000,
respectively.
Performance shares
Beginning in fiscal 2006, eligible employees, including Avnet’s executive officers, may receive a portion of
their long-term equity-based incentive compensation through the performance share program, which allows for the
award of shares of stock based upon performance-based criteria (“Performance Shares”). The Performance Shares
will provide for the issuance to each grantee of a number of shares of Avnet’s common stock at the end of a three-
year period based upon the Company
’s achievement of performance goals established by the Compensation
Committee of the Board of Directors for each three-year period. These performance goals are based upon a three-
year cumulative increase in the
68
Weighted
Average
Grant-
Date
Shares
Fair Value
Non
-
vested stock options at June 30, 2007
1,348,760
$
9.17
Granted
259,148
$
14.90
Vested
(719,132
)
$
6.91
Forfeited
(72,235
)
$
9.50
Non
-
vested stock options at June 28, 2008
816,541
$
12.95
Weighted
Average
Grant
-
Date
Shares
Fair Value
Non
-
vested incentive shares at June 30, 2007
982,795
$
19.37
Granted
513,815
$
34.34
Vested
(387,152
)
$
23.50
Forfeited
(74,310
)
$
22.09
Non
-
vested incentive shares at June 28, 2008
1,035,148
$
25.06