Callaway 2008 Annual Report Download - page 38

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the fair market value of the Company’s Common Stock on the date of grant, the Company’s practice was to
generally grant stock options at exercise prices equal to the fair market value of the Company’s Common Stock
on the date of grant.
Promotion Plan. Under the Promotion Plan, the Company granted stock options to golf professionals and
other endorsers of the Company’s products. Such grants were generally made at prices that were equal to the fair
market value of the Company’s Common Stock on the date of grant.
Purchases of Equity Securities by the Issuer and Affiliated Purchasers
In November 2007, the Board of Directors authorized a repurchase program (the “November 2007
repurchase program”) for the Company to repurchase shares of its Common Stock up to a maximum cost to the
Company of $100.0 million, which will remain in effect until completed or otherwise terminated by the Board of
Directors.
During the three months ended December 31, 2008, the Company repurchased 0.1 million shares of its
Common Stock at a weighted average cost per share of $9.32 for a total cost of $0.7 million under the November
2007 repurchase program. These shares were repurchased to settle shares withheld for taxes due by holders of
Restricted Stock awards. As of December 31, 2008, the Company remained authorized to repurchase up to an
additional $76.4 million of its Common Stock under this program.
The following table summarizes the purchases by the Company under its repurchase programs during the
fourth quarter of 2008 (in thousands, except per share data):
Three Months Ended December 31, 2008
Total Number
of Shares
Purchased
Weighted
Average Price
Paid per Share
Total Number
of Shares
Purchased as
Part of
Publicly
Announced
Programs
Maximum
Dollar
Value that
May Yet Be
Purchased
Under the
Programs
October 1, 2008—October 31, 2008 ............... — $— — $77,030
November 1, 2008—November 30, 2008 ........... — $— — $77,030
December 1, 2008—December 31, 2008 ............ 73 $9.32 73 $76,350
Total .................................... 73 $9.32 73 $76,350
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