Digital River 2002 Annual Report Download - page 61

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A summary of information about total stock options outstanding at December 31, 2002 is as follows:
O pt ion s Ou t st an d in g O pt ion s Exercisabl e
Exerci se P rice
Num ber
O ut st and in g
Wei gh t ed
Average
Lif e Rem ai n in g
Num ber
Exerci sabl e
Wei gh t ed
Average Pri ce
$1.69 - $3.88.............. 737,51
1
7.1 ye ar
s
392,970
$
3.0
0
4.56 - 7.55 ................. 4,262,60
5
8.6 ye ar
s
1,195,005 5.4
7
8.50 - 13.92............... 430,41
4
8.7 ye ar
s
138,226 12.85
16.54 - 31.13............. 623,75
3
6.6 ye ar
s
519,292 21.96
$1.69 - $31.13............ 6,054,28
3
8.2 ye ar
s
2,245,493
$
9.3
0
T he Company r ec orded compe nsation e xpe nse f or the dif fe r ence be tw e en the gr a nt pr ic e a nd the fa ir ma r ke t value of the
Compa ny’ s Common Stoc k on options to pur c ha se 30,533 sha re s a t an exer c ise price of $.01 issued in Ja nuar y 2001.
The Company also sponsors an employee stock purchase plan under which 600,000 shares have been reserved for
purchase by employees. The purchase price of the shares under the plan is the lesser of 85% of the fair market value on
the first or last day of the offering period. Offering periods currently are each six months ending on June 30 and
December 31. Employees may designate up to ten percent of their compensation for the purchase of shares under the
plan. Total shares purchased by employees under the plan were 49,000, 182,000, 113,000 in the years ended December
31, 2002, 2001 and 2000, respectively.
8. Se gme nt Infor mation:
The Company has two operating segments, Software and Digital Commerce Services and E-Business Services, which
have been identified as components of the Company that are reviewed regularly by management to determine resource
allocation and assess performance. Unallocated corporate items consist of depreciation, goodwill and other intangibles
amortization, acquisition-related costs and interest income for operational results and consist of certain cash,
investments and goodwill for total assets. Segment information for 2002, 2001 and 2000 is as follows:
S of tware an d
Digit al Com merce
S ervi ces Di vi si on
E-Busi ness
S ervi ces Di vi si on
Unall ocated
Corporat e
Items Con sol id at ed
Y ear e nded De ce mbe r 31, 2002:
Revenue................................................... $63,195,000 $ 14,588,000 $ — $ 77,783,000
G ross pr of it (e xclude s de pre cia tion
a nd a mor tiz ation e xpe nse) ............... 53,482,000 10,539,000 — 64,021,000
I nc ome ( loss) f r om oper ations.............. 21,427,000 ( 8,097,000)( 14,246,000)( 916,000
)
N et income (loss).................................... 21,427,000 ( 8,097,000)( 13,840,000)( 510,000
)
T otal asse ts at De ce mbe r 31, 2002...... 41,343,000 15,623,000 38,727,000 95,693,000
Y ear e nded De ce mbe r 31, 2001:
Revenue................................................... $44,914,000 $ 12,911,000 $ — $ 57,825,000
G ross pr of it (e xclude s de pre cia tion
a nd a mor tiz ation e xpe nse) ............... 36,214,000 8,701,000 — 44,915,000
I nc ome ( loss) f r om oper ations.............. 10,672,000 ( 9,139,000)( 21,636,000)( 20,103,000
)
N et income (loss).................................... 10,672,000 ( 9,139,000)( 20,755,000)( 19,222,000
)
T otal asse ts at De ce mbe r 31, 2001...... 20,858,000 9,159,000 48,209,000 78,227,000
Y ear e nded De ce m be r 31, 2000:
Revenue................................................... $25,221,000 $ 5,960,00
0
$ — $ 31,181,000
G ross pr of it (e xclude s de pre cia tion
a nd a mor tiz ation e xpe nse) ............... 18,119,000 3,718,000 — 21,387,000
I nc ome ( loss) f r om oper ations.............. ( 5,611,000)( 15,936,000)( 18,565,000)( 40,112,000
)
N et income (loss).................................... ( 5,611,000)( 15,936,000)( 16,569,000)( 38,116,000
)
T otal asse ts at De ce mbe r 31, 2000...... 16,256,000 7,051,000 46,096,000 69,403,000