Eli Lilly 2006 Annual Report Download - page 91

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PROXY STATEMENT
8989
2 These two columns show performance award shares paid in restricted shares with a holding period of one year.
The restricted stock shares pay dividends during the restriction period, but the dividends are not preferential. For
Dr. Paul this also refl ects additional restricted stock grants totaling 8,000 shares.
3 The vesting date of each option is listed in the table below by expiration date:
Expiration Date Vesting Date Expiration Date Vesting Date
04/29/2016 05/01/2009 02/18/2011 02/20/2004
02/09/2016 02/10/2009 12/17/2010 12/18/2003
02/10/2015 02/11/2008 10/16/2009 10/18/2002
02/14/2014 02/19/2007 10/17/2008 10/19/2001
02/15/2013 02/17/2006 05/30/2008 06/04/2001
02/17/2012 02/18/2005 10/19/2007 10/20/2000
10/04/2011 10/03/2003 07/18/2007 07/21/2000
4 Options were granted on February 10, 2006 and expire on February 9, 2016.
5 Shares paid out in January 2007 for 2006 performance. These shares are restricted until February 2008.
6 Shares paid out in January 2006 for 2005 performance. These shares vested in February 2007.
7 Mr. Taurel transferred 348,683 shares of this option to an irrevocable trust for the benefi t of his children, and
these shares vested on April 30, 2002.
8 Dr. Lechleiter transferred 118,683 shares of his option to an irrevocable trust for the benefi t of his children, and
these shares vested on April 30, 2002.
9 These options were granted outside of the normal annual cycle and vest in three installments, as follows: 25 per-
cent on December 19, 2005; 25 percent on December 18, 2008; and 50 percent on November 2, 2009.
10 Options were granted on May 1, 2006 and expire on April 29, 2016.
11 Mr. Golden’s two most recent options’ vesting dates were accelerated due to his retirement on April 30, 2006.
12 Mr. Golden transferred 118,683 shares of this option to an irrevocable trust for the benefi t of his children, and
these shares vested on April 30, 2002.
13 The exercise period for the fi rst fi ve option grants shown were shortened to correspond with the fi fth anniversary
of Mr. Golden’s retirement. Since Mr. Golden retired within 12 months of receiving the 2006 stock option, it did not
vest, and it was forfeited.
Options Exercised and Stock Vested in 2006
Option Awards Stock Awards 2
Name
Number of Shares Acquired
on Exercise (#)
Value Realized
on Exercise ($) 1
Number of Shares Acquired
on Vesting (#)
Value Realized
on Vesting ($)
Current
Mr. Taurel 147,110 $3,189,738 28,000 $1,585,360
Dr. Lechleiter 13,110 $269,072 14,000 $792,680
Dr. Paul 2,890 $59,664 9,000 $509,580
Mr. Armitage 0 0 10,600 $588,572
Mr. Rice 2,800$57,24600
Retired
Mr. Golden 109,170 $2,443,373 28,7663$1,552,236
1 Amounts refl ect the difference between the exercise price of the option and the market price at the time of
exercise.
2 Amounts refl ect the market value of the stock on the day the stock vested. These shares represent performance
awards issued in January 2005 for company performance in 2004, which were subject to forfeiture for one year
following issuance.
3 In addition to the January 2005 performance award, for Mr. Golden this number includes performance awards
paid out in restricted stock in January 2006 for 2005 performance, which vested on his retirement.
Retirement Benefi ts
We maintain two programs to provide retirement income to all eligible U.S. employees, including executive offi cers:
• The Lilly Employee 401(k) Plan, a defi ned contribution plan qualifi ed under sections 401(a) and 401(k) of the
Internal Revenue Code. Eligible employees may elect to contribute a portion of their salary to the plan, and
the company provides matching contributions on the employees’ contributions up to 6 percent of base salary.