E-Z-GO 2004 Annual Report Download - page 77

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56
At the end of 2004, 5,196,760 stock options were available for future grant under the 1999 Plan, as amended. Stock option activity
is summarized as follows:
2004 2003 2002
Weighted- Weighted- Weighted-
Average Average Average
Number of Exercise Number of Exercise Number of Exercise
(Shares in thousands)
Options Price Options Price Options Price
Outstanding at beginning of year 13,158 $ 49.24 14,140 $ 49.62 10,976 $ 53.50
Granted 1,532 54.07 1,905 39.67 5,135 41.29
Exercised (4,363) 42.48 (1,797) 39.59 (696) 34.25
Canceled or expired (1,066) 59.52 (1,090) 53.29 (1,275) 57.89
Outstanding at end of year 9,261 $ 52.05 13,158 $ 49.24 14,140 $ 49.62
Exercisable at end of year 7,176 $ 52.70 9,115 $ 53.02 9,043 $ 54.08
Stock options outstanding at the end of 2004 are summarized as follows:
(Shares in thousands)
Options Outstanding Options Exercisable
Weighted-
Average Weighted- Weighted-
Remaining Average Average
Range of Contractual Exercise Exercise
Exercise Prices Number Life Price Number Price
$27 - $41 3,509 7.22 Years $ 39.89 2,745 $ 40.25
$42 - $57 3,227 6.95 Years $ 49.82 1,917 $ 45.90
$58 - $95 2,525 4.27 Years $ 71.44 2,514 $ 71.45
9,261 7,176
In 2004 and 2003, Textron granted 459,000 and 408,000 shares, respectively, of restricted stock at a weighted-average grant price
of $57.30 and $40.61, respectively. There were no restricted shares granted in 2002.
Reserved Shares of Common Stock
At the end of 2004, common stock reserved for the subsequent conversion of preferred stock and shares reserved for the exercise
of stock options were 2,698,000 and 9,261,000, respectively.
Preferred Stock Purchase Rights
Each outstanding share of Textron common stock has attached to it one-half of a preferred stock purchase right. One preferred
stock purchase right entitles the holder to buy one one-hundredth of a share of Series C Junior Participating Preferred Stock at an
exercise price of $250. The rights become exercisable only under certain circumstances related to a person or group acquiring or
offering to acquire a substantial block of Textron’s common stock. In certain circumstances, holders may acquire Textron stock, or
in some cases the stock of an acquiring entity, with a value equal to twice the exercise price. The rights expire in September 2005
but may be redeemed earlier for $0.05 per right.
Income per Common Share
A reconciliation of income from continuing operations and basic to diluted share amounts is presented below:
2004 2003 2002
Average Average Average
(Dollars in millions, shares in thousands)
Income Shares Income Shares Income Shares
Income from continuing operations
available to common shareholders $ 373 137,337 $ 292 135,875 $ 374 138,745
Dilutive effect of convertible preferred
stock and stock options — 2,832 — 1,342 — 1,507
Available to common shareholders and
assumed conversions $ 373 140,169 $ 292 137,217 $ 374 140,252
Notes to Consolidated Financial Statements