Logitech 2007 Annual Report Download - page 28

The Company has not issued non-voting shares (“bons de participation,” “Partizipationsscheine”).
Logitech ADSs and Share for ADS Exchange. Until October 2006, Logitech American Depositary
Shares, or ADSs, traded on the Nasdaq Global Select Market. Each ADS represented one Logitech share. On
October 23, 2006 each outstanding ADS was exchanged on a mandatory basis for one Logitech share, the
Logitech ADSs were delisted from Nasdaq, and Logitech shares commenced trading on the Nasdaq Global Select
Market. As a result, the same Logitech shares that previously traded solely on the SWX Swiss Exchange are now
traded on both the SWX and the Nasdaq Global Select Market.
2.5 Bonus Certificates
The Company has not issued certificates or equity securities that provide financial rights in consideration for
services rendered or claims waived (referred to as “bonus certificates,” “bons de jouissance,” or
“Genussscheine”).
2.6 Limitations on Transferability and Nominee Registration
The Company and its agent, The Bank of New York, as US transfer agent, maintain a share register that lists
the names of the registered owners of our shares. Registration in our share register occurs upon request and is not
subject to any conditions. Nominee companies and trustees can be entered into the share register with voting
rights. There are no restrictions on transfers of shares under our Articles of Incorporation or Swiss law. However,
only holders of shares that are recorded in our share register are recognized as shareholders, and a transfer of
shares reflected in our share register is recognized by us only to the extent we are notified of the transfer.
Refer to section 6.1 for the conditions for exercise of shareholders’ voting rights.
2.7 Conversion and Option Rights
Conversion Rights. Logitech does not have any outstanding bonds or other publicly traded securities with
conversion rights.
Warrants. Logitech has not issued warrants on its shares.
Employee Stock Incentive and Stock Purchase Plans. Logitech believes equity compensation is an
important part of attracting and retaining high-caliber employees and of aligning the interests of management and
the directors of the Company with the interests of the shareholders. Accordingly, Logitech maintains stock
incentive and stock purchase plans for its employees.
2006 Stock Incentive Plan. The Logitech International S.A. 2006 Stock Incentive Plan provides for the grant
to eligible employees and non-employee directors in the Logitech Group of stock options, stock appreciation
rights, restricted stock and restricted stock units, which are bookkeeping entries reflecting the equivalent of
shares. As of March 31, 2007, the Company has granted only stock options under the 2006 Plan and has made no
grants of restricted shares, stock appreciation rights or stock units. Stock options granted under the 2006 Plan
generally will have terms not exceeding ten years and will be issued at exercise prices not less than the fair
market value on the date of grant. Awards under the 2006 Plan may be conditioned on continued employment,
the passage of time or the satisfaction of performance vesting criteria. The 2006 Plan expires on June 16, 2016.
An aggregate of 14,000,000 shares is reserved for issuance under the 2006 Plan. As of March 31, 2007, a total of
12,006,900 shares were available for issuance under this plan.
1996 Stock Plan. Under the 1996 Stock Plan, the Company granted options for shares. Options issued under
the 1996 Plan generally vest over four years and remain outstanding for periods not to exceed ten years. Options
were granted at exercise prices of at least 100% of the fair market value of the shares on the date of grant. The
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