Invacare 2011 Annual Report Download - page 98

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INVACARE CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
Shareholders’ Equity Transactions—Continued
The following table summarizes information about stock option activity for the three years ended 2011,
2010 and 2009:
2011
Weighted
Average
Exercise
Price 2010
Weighted
Average
Exercise
Price 2009
Weighted
Average
Exercise
Price
Options outstanding at January 1 ...... 4,484,195 $29.60 4,619,528 $29.28 4,910,547 $29.37
Granted .......................... 608,896 24.57 646,797 25.22 754,581 20.38
Exercised ........................ (178,744) 23.15 (399,144) 23.08 (490,325) 19.68
Canceled ......................... (458,982) 31.42 (382,986) 25.07 (555,275) 26.27
Options outstanding at December 31 . . . 4,455,365 $28.99 4,484,195 $29.60 4,619,528 $29.28
Options exercise price range at
December 31 ................... 10.70 to 10.70 to 10.70 to
$ 47.80 $ 47.80 $ 47.80
Options exercisable at December 31 . . . 2,960,317 2,941,772 3,099,092
Options available for grant at
December 31* .................. 1,914,574 2,478,905 3,132,623
* Options available for grant as of December 31, 2011 reduced by net restricted stock award activity of
584,007.
The following table summarizes information about stock options outstanding at December 31, 2011:
Options Outstanding Options Exercisable
Exercise Prices
Number
Outstanding
At 12/31/11
Weighted Average
Remaining
Contractual Life
Weighted Average
Exercise Price
Number
Exercisable
At 12/31/11
Weighted Average
Exercise Price
$ 10.70 – $15.00 ............. 15,653 4.1 years $12.19 10,153 $10.70
$ 15.01 – $25.00 ............. 1,857,809 7.4 22.54 933,867 22.13
$ 25.01 – $35.00 ............. 1,241,312 6.8 26.28 675,706 26.87
$ 35.01 – $47.80 ............. 1,340,591 2.3 40.64 1,340,591 40.64
Total ...................... 4,455,365 5.7 $28.99 2,960,317 $31.55
The plans provide that shares granted come from the company’s authorized but un-issued Common Shares
or treasury shares. In addition, the company’s stock-based compensation plans allow participants to exchange
mature shares for the exercise price and surrender shares for minimum withholding taxes, which results in the
company acquiring treasury shares. Pursuant to the plans, the Committee has established that the majority of the
2011 grants may not be exercised within one year from the date granted and options must be exercised within ten
years from the date granted. Accordingly, for the stock options issued in 2011, 2010 and 2009, 25% of such
options vested in the year following issuance. The stock options awarded during such years provided a four-year
vesting period whereby options vest equally in each year. The 2011, 2010 and 2009 expense has been adjusted
for estimated forfeitures of awards that will not vest because service or employment requirements have not been
met.
FS-26