Health Net 2015 Annual Report Download - page 203

HEALTH NET, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
F-42
based on the U.S. Treasury Strip yields in effect at the time of grant with maturity dates approximately equal to the
expected life of the option at the grant date.
During the years ended December 31, 2015, 2014 and 2013, we made no grants of stock options. The following
table provides the total intrinsic value of options exercised during the years ended December 31:
2015 2014 2013
Total intrinsic value of options exercised.................... $ 11,889,560 $ 18,608,206 $ 3,138,634
A summary of option activity under our various plans as of December 31, 2015, and changes during the year then
ended is presented below:
Number of
Options
Weighted
Average
Exercise Price
Weighted Average
Remaining
Contractual Term
(Years) Aggregate Intrinsic Value
Outstanding at January 1, 2015 ................... 1,952,211 $33.01
Granted ........................................................ — —
Exercised ..................................................... (517,351) 36.18
Forfeited or expired..................................... (2,675) 54.85
Outstanding at December 31, 2015 ............. 1,432,185 $31.82 1.19 $ 52,474,895
Vested or expected to vest at December 31,
2015 (reflecting estimated forfeiture
rates effective in 2015) ........................... 1,432,185 $31.82 1.19 $ 52,474,895
Exercisable at December 31, 2015.............. 1,432,185 $31.82 1.19 $ 52,474,895
Options Outstanding Options Exercisable
Range of
Exercise Prices
Number of
Options
Weighted Average
Remaining
Contractual Life
(Years)
Weighted Average
Exercise Price
Number of
Options
Weighted Average
Exercise Price
$15.30 – 20.00......... 106,000 0.55 $15.45 106,000 $15.45
20.01 – 25.00......... 507,579 1.18 23.08 507,579 23.08
25.01 – 30.00......... 62,000 2.33 28.00 62,000 28.00
30.01 – 40.00......... 341,050 1.99 31.47 341,050 31.47
40.01 – 50.00......... 346,543 0.37 45.91 346,543 45.91
50.01 – 58.07......... 69,013 1.36 55.65 69,013 55.65
$15.30 – 58.07......... 1,432,185 1.19 $31.82 1,432,185 $31.82
We have entered into stock option and RSU agreements with certain employees and non-employee directors and
PSU agreements with certain employees. Upon vesting and exercise of each stock option and upon vesting of each RSU
and PSU, holders will have the right to receive one share of common stock. Awards of stock options, RSUs and PSUs
are subject to restrictions on transfer and forfeiture prior to vesting.