Experian 2008 Annual Report Download - page 123

Download and view the complete annual report

Please find page 123 of the 2008 Experian annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 148

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148

121Experian Annual Report 2008
Introduction
2 – 5
Business review
6 – 37
Governance
38 – 64
Financial statements
Group financial statements
Financial statements
Group financial statements
35. Share-based payment arrangements
The Group has a number of equity settled, share-based incentive plans. These include options and awards in respect of shares
in Experian Group Limited made at or after demerger together with options and awards previously made in respect of shares in
GUS plc which were rolled over into options and awards in respect of shares in Experian Group Limited at demerger.
Prior to the demerger, Experian employees participated in share-based incentive plans in respect of ordinary shares in
GUS plc. On demerger, certain GUS options and awards vested early with the majority of Experian participants’ outstanding
GUS options and awards rolled over into the Experian equivalent share-based incentive plans. Accordingly the following
information relates to options and awards held by the Group’s employees including details in respect of Experian share-based
incentive plans and, where appropriate, GUS share-based incentive plans. Option, award and share prices are disclosed in
Sterling as this is the currency in which ordinary shares in Experian Group Limited are quoted and ordinary shares in GUS plc
were quoted prior to the demerger.
(a) Share options
(i) Summary of arrangements
Experian Share Option Plan
The Experian Share Option Plan was introduced at demerger and includes options granted at and after demerger together
with certain options rolled over from former GUS plans. Arrangements are as follows:
Nature Grant of options
Vesting conditions:
– Service period 3 and 4 years
– Performance/Other n/a
Expected outcome of meeting performance criteria (at grant date) n/a
Maximum term 10 years
Method of settlement Share distribution
Expected departures (at grant date) 5%
Option exercise price calculation1 Market price over the 3 dealing days preceding the grant
1. Three day averages are calculated by taking middle market quotations of an Experian Group Limited share from the London Stock Exchange daily official list.
Experian Sharesave Plans
A number of Experian Sharesave Plans were introduced during the year ended 31 March 2008 and arrangements are primarily as
follows:
Nature ‘Save as you earn’ schemes
Vesting conditions:
– Service period 1 year for US scheme
3 or 5 years for other schemes
– Performance/Other Saving obligation over the vesting period
Expected outcome of meeting performance criteria (at grant date) n/a
Maximum term 1, 3.5 or 5.5 years
Method of settlement Share distribution
Expected departures (at grant date) 1 year2 – 5%
3 years2 – 30%
5 years2 – 50%
Option exercise price calculation1 15% discount to market price over the 3 dealing days
preceding the grant for US scheme
20% discount to market price over the 3 dealing days
preceding the grant for other schemes
1. Three day averages are calculated by taking middle market quotations of an Experian Group Limited share from the London Stock Exchange daily official list.
2. The stated values for expected departures include participants who did not meet the saving requirement of the schemes.
.