Incredimail 2010 Annual Report Download - page 56

Except as indicated in the footnotes to this table, each shareholder in the table has sole voting and investment power for the shares
shown as beneficially owned by them. Percentage ownership is based on 9,713,092 ordinary shares outstanding on February 28, 2011.
____________________________
* Represents less than one percent
Employee Benefit Plans
Our current equity incentive plan was adopted in 2003 under Section 102 of the Israeli Income Tax Ordinance, providing certain tax
benefits in connection with share-
based compensation. Please also see Note 10 of our financial statements included in this annual report for
information on the options issued under our plan.
Under the 2003 Plan, we may grant to our directors, officers, employees, service providers and controlling shareholders options to
purchase our ordinary shares. Following an increase in the number of shares available for grant approved by our board of directors and
shareholders in December 2007 and November 2010, as of December 31, 2010 a total of 1,717,309 ordinary shares are subject to the 2003 Plan.
Any expired or cancelled options are available for reissuance under the 2003 Plan. Our employees, officers and directors may only be granted
options under Section 102 of the Israeli Income Tax Ordinance (the " Tax Ordinance
"), which provides for a beneficial tax treatment, and our
non-
employees (such as service providers) and controlling shareholders may only be granted options under another section of the Tax
Ordinance, which does not provide for similar tax benefits. To be eligible for tax benefits under Section 102, options or ordinary shares must be
issued through a trustee, and if held by the trustee for the minimum required period, the employees and directors are entitled to defer any taxable
event with respect to the options until the earlier of (i) the transfer of the options or underlying shares from the trustee to the employee or
director or (ii) the sale of the options or underlying shares to any other third party. Based on elections made by us, our employees and directors
will only be subject to capital gains tax of 25% on the sale of the options or the underlying shares, provided the trustee holds their options or,
upon their exercise, the underlying shares for the lesser of (i) 30 months, or (ii) 24 months following the re
-
pricing of any options and for options
Name
Number of
Ordinary
Shares
Beneficially
Owned
Percentage
of Ordinary
Shares
Outstanding
Ofer Adler (1)
704,456
7.2
%
Yacov Kaufman (2)
118,666
1.2
%
Tamar Gottlieb (3)
114,965
1.2
%
Yuval Hamudot (4)
66,666
*
David Jutkowitz (5)
17,499
*
Arik Ramot (6) .
6,666
*
Arik Czerniak (7)
3,333
*
Avichay Nissenbaum (8)
3,333
*
All directors and officers as a group (12 persons) (9)
1,035,584
10.4*
%
(1)
Includes options to purchase 37,500 ordinary shares at an exercise price of $5.21 per share, exercisable within 60 days of this
Annual Report.
(2)
Represents options to purchase 25,000 ordinary shares at an exercise price of $3.00 per share, 20,000 ordinary shares at an
exercise price of $3.51 per share and 16,666 ordinary shares at an exercise price of $6.75 per share, exercisable within 60 days
of this Annual Report.
(3)
Includes options to purchase 30,000 ordinary shares at an exercise price of $7.86 per share, 7,500 ordinary shares at an
exercise price of $5.21 per share, 6,666 ordinary shares at an exercise price of $3.26 per share, 6,666 at an exercise price of
$2.30 per share and 3,333 at an exercise price of $9.98 per share, exercisable within 60 days of this Annual Report.
(4)
Includes options to purchase 16,666 ordinary shares at an exercise price of $6.75, exercisable within 60 days of this Annual
Report.
(5)
Represents options to purchase 7,500 ordinary shares at an exercise price of $5.21 per share, 6,666 ordinary shares at an
exercise price of $2.30 per share and 3,333 at an exercise price of $9.98 per share, exercisable within 60 days of this Annual
Report.
(6)
Represents options to purchase 3,333 ordinary shares at an exercise price of $2.30 per share and 3,333 at an exercise price of
$9.98 per share, exercisable within 60 days of this Annual Report.
(7)
Represents options to purchase 3,333 ordinary shares at an exercise price of $9.98 per share, exercisable within 60 days of this
Annual Report.
(8)
Represents options to purchase 3,333 ordinary shares at an exercise price of $5.86 per share, exercisable within 60 days of this
Annual Report.
(9)
Includes options to purchase 200,828 ordinary shares, exercisable within 60 days of this Annual Report.