Creative 2002 Annual Report Download - page 41

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39
Creative and Subsidiary Pro Forma Disclosures
The fair value of the purchase rights under the Creative employee share purchase plan and stock option plan is estimated
using the Black-Scholes model based on the following assumptions:
Fiscal 2002 Fiscal 2001 Fiscal 2000
Volatility 60% 50% 60%
Risk-free interest rates
Share purchase plan 2.18% to 5.16% 3.78% to 6.09% 6.22% to 6.81%
Stock options 2.16% to 5.16% – 5.20% to 6.65%
Dividend yield 2.5% – 1.0%
Expected lives:
Share purchase plan 6 months 6 months 6 months
Stock options 0.01 years after vest date – 0.01 years after vest date
Years ended June 30
2002 2001 2000
Weighted average fair value of stock options granted:
Stock options:
At market $ 1.53 $ – $ 5.02
Below market $ 3.74 $ – $ 4.71
The fair value of the purchase rights under the subsidiary stock option plan is estimated using the Black-Scholes model
based on the following assumptions:
Fiscal 2002 Fiscal 2001 Fiscal 2000
Volatility – – –
Risk-free interest rates – 3.78% to 6.34% 5.99% to 6.40%
Dividend yield – – –
Expected lives – 0.01 years after vest date 0.01 years after vest date