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Notes to Consolidated Financial Statements
26
The following table summarizes information about our fixed stock option plans for the years ended May 31:
2001 2000 1999
Weighted-Average Weighted-Average Weighted-Average
Shares Exercise Price Shares Exercise Price Shares Exercise Price
Outstanding at beginning of year 15,010,651 $29.12 13,399,532 $23.11 13,388,452 $19.74
Granted and assumed 4,267,753(1) 31.19 3,218,450 50.79 3,377,500 31.80
Exercised (1,465,684) 20.02 (1,232,699) 18.81 (3,135,640) 17.86
Forfeited (314,162) 37.25 (374,632) 33.81 (230,780) 26.59
___________________ ___________________ ___________________
Outstanding at end of year 17,498,558 30.24 15,010,651 29.12 13,399,532 23.11
___________________ ___________________ ___________________
Exercisable at end of year 8,704,009 25.09 5,781,855 21.44 4,404,146 18.57
(1) Includes 1,479,016 options assumed upon acquisition of American Freightways in 2001.
The weighted-average fair value of options granted during the year was $13.19, $16.63 and $9.12 for the years ended May 31, 2001, 2000
and 1999, respectively.
The following table summarizes information about fixed stock options outstanding at May 31, 2001:
Options Outstanding Options Exercisable
Weighted-Average
Range of Number Remaining Weighted-Average Number Weighted-Average
Exercise Prices Outstanding Contractual Life Exercise Price Exercisable Exercise Price
$8.63–$12.00 157,274 0.6 years $10.13 157,274 $10.13
12.19– 17.70 2,261,561 3.9 years 15.69 1,899,134 15.59
18.45– 25.19 4,687,294 4.8 years 20.44 3,023,630 20.48
26.44– 37.25 7,018,067 7.4 years 32.41 2,860,491 30.24
38.69– 55.94 3,374,362 8.3 years 50.04 763,480 50.75
___________________ _________________
8.63– 55.94 17,498,558 6.4 years 30.24 8,704,009 25.09
Restricted Stock Plans
Under the terms of our Restricted Stock Plans, shares of common stock are awarded to key employees. All restrictions on the shares
expire over periods varying from two to five years from their date of award. Shares are valued at the market price at the date of award.
Compensation related to these plans is recorded as a reduction of common stockholders’ investment and is being amortized to expense as
restrictions on such shares expire. In March 2001, the Board of Directors approved an additional restricted stock plan, which authorized
the issuance of up to 1,000,000 common shares. The following table summarizes information about restricted stock awards for the years
ended May 31:
2001 2000 1999
Weighted-Average Weighted-Average Weighted-Average
Shares Fair Value Shares Fair Value Shares Fair Value
Awarded 330,250 $39.89 283,750 $51.90 252,000 $32.71
Forfeited 8,438 40.92 20,000 37.71 16,900 44.38
At May 31, 2001, there were 1,163,538 shares available for future awards under these plans. Compensation cost for the restricted stock
plans was $11,426,000, $12,178,000 and $8,928,000 for 2001, 2000 and 1999, respectively.