Crucial 2012 Annual Report Download - page 273

28
INOTERA MEMORIES, INC.
NOTES TO FINANCIAL STATEMENTS
(Continued)
Options granted and capital increase in cash allocated for employees were priced using the Black-Scholes
pricing model and the inputs to the model were as follows:
Employee Stock Option Plan
The first batch
for the year ended
December 31, 2007
The second batch
for the year ended
December 31, 2007
The first batch
for the year ended
December 31, 2008
The first batch
for the year ending
December 31, 2009
The first batch
for the year ending
December 31, 2010
Capital increase
in cash allocated
for employees
Assumptions
Expected dividend yield -% -% -% -% -% -%
Grant-date share price 31.05 26.50 10.00 17.40 15.40 28.20
Expected volatility 40.23% 38.41% 40.76% 47.01% 50.93%~53.53% 32.39%
Risk-free interest rate 2.5317% 2.482% 2.014% 1.1089% 0.8674% 1.0182%
Expected term 5.375 years 5.375 years 5.375 years 5.375 years 5~6 years 0.08 years
Estimated percentage of
forfeiture 16.06% 16.06% 16.63% 15.48% 16.06% -%
The details of these employee stock option plans for the years ended December 31, 2009, 2010 and 2011,
were as follows:
For years ended December 31,
2009 2010 2011
Number of
options
(Units)
Weighted-
average
exercise price
Number of
options
(Units)
Weighted-
average
exercise price
Number of
options
(Units)
Weighted-
average
exercise price
Outstanding at January 1, 2009, 2010 and 2011 $ 156,102 20.56 150,989 19.31 172,848 18.95
Options granted 14,500 17.20 56,182 15.40 — —
Option exercised — — (20,781) 10.00 (3,402) 10.00
Options forfeited (19,613) 17.79 (13,542) 17.79 (18,240) 19.58
Outstanding at December 31, 2009, 2010 and 2011 150,989 19.31 172,848 18.95 151,206 19.08
Options exercisable, end of year 34,254 79,450 82,681
Weighted-average fair value of options granted $ 7.50 7.24 —
As of December 31, 2010 and 2011, the details of the Company's outstanding stock options, which were treated
as a compensatory plan, were as a follows:
December 31, 2010
Options outstanding Options exercisable
Range of exercise
price Number of options Remaining periods Exercise price Number of options Exercise price
$ 27.80 64,336 4.66 $ 27.80 48,035 27.80
$ 24.50 1,517 4.95 $ 24.50 866 24.50
$ 10.00 40,444 5.75 $ 10.00 30,549 10.00
$ 17.20 11,465 6.33 $ 17.20 — —
$ 15.40 55,086 7.79 $ 15.40 — —