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QUALCOMM Incorporated
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
At September 28, 2014 , total unrecognized compensation expense related to non-vested RSUs granted prior to that date was $1.3 billion ,
which is expected to be recognized over a weighted-average period of 1.8 years. The total vest-date fair value of RSUs that vested during fiscal
2014 , 2013 and 2012 was $1.1 billion , $1.0 billion and $352 million , respectively. Upon vesting, the Company issues new shares of common
stock. For the majority of RSUs, shares are issued on the vesting dates net of the amount of shares needed to satisfy statutory tax withholding
requirements to be paid by the Company on behalf of the employees. The total shares withheld related to all share-based awards were
approximately 5,568,000 , 5,805,000 and 1,965,000 in fiscal 2014 , 2013 and 2012 , respectively, and were based on the value of the awards on
their vesting dates as determined by the Company’s closing stock price. Total payments for the employees’ tax obligations to the taxing
authorities were $417 million , $374 million and $131 million in fiscal 2014 , 2013 and 2012 , respectively.
The Board of Directors may grant stock options to selected employees, directors and consultants to the Company to purchase shares of the
Company’
s common stock at an exercise price not less than the fair market value of the stock at the date of grant. Stock options vest over periods
not exceeding five years and are exercisable for up to 10 years from the grant date. A summary of stock option transactions for all equity
compensation plans follows:
At September 28, 2014 , total unrecognized estimated compensation expense related to non-vested stock options granted prior to that date
was $12 million , which is expected to be recognized over a weighted-average period of 1.7 years. The total intrinsic value of stock options
exercised during fiscal 2014 , 2013 and 2012 was $971 million , $949 million and $1.0 billion , respectively, and the amount of cash received
from the exercise of stock options was $1.2 billion , $1.3 billion and $1.5 billion , respectively. Upon option exercise, the Company issues new
shares of stock.
The total tax benefits realized, including the excess tax benefits, related to share-based awards was $690 million , $659 million and $438
million during fiscal 2014 , 2013 and 2012 , respectively.
Employee Stock Purchase Plan. The Company has an employee stock purchase plan for eligible employees to purchase shares of common
stock at 85% of the lower of the fair market value on the first or the last day of each offering period, which is generally six months. Employees
may authorize the Company to withhold up to 15% of their compensation during any offering period, subject to certain limitations. The
employee stock purchase plan includes a non-423(b) plan. The shares authorized under the employee stock purchase plan were approximately
46,709,000 at September 28, 2014 . The shares reserved for future issuance were approximately 6,338,000 at September 28, 2014 . During fiscal
2014 , 2013 and 2012 , approximately 4,376,000 , 4,044,000 and 3,654,000 shares, respectively, were issued under the plan at an average price
of $58.81 , $52.70 and $48.31 per
F- 21
Number of Shares
Weighted-
Average
Grant Date Fair
Value
Aggregate
Intrinsic
Value
(In thousands)
(In billions)
RSUs outstanding at September 29, 2013
31,078
$
59.91
RSUs granted
14,558
72.80
RSUs canceled/forfeited
(2,223
)
63.66
RSUs vested
(14,863
)
57.66
RSUs outstanding at September 28, 2014
28,550
$
67.36
$
2.1
Number of Shares
Weighted-
Average
Exercise
Price
Average
Remaining
Contractual Term
Aggregate
Intrinsic
Value
(In thousands)
(Years)
(In billions)
Stock options outstanding at September 29, 2013
71,026
$
41.17
Stock options assumed
(1)
152
4.73
Stock options canceled/forfeited/expired
(220
)
42.03
Stock options exercised
(28,845
)
40.87
Stock options outstanding at September 28, 2014
42,113
$
41.23
3.5
$
1.4
Exercisable at September 28, 2014
41,701
$
41.27
3.5
$
1.4
(1)
Represents activity related to options that were assumed as a result of an acquisition (Note 9).