Raytheon 2011 Annual Report Download - page 111

Download and view the complete annual report

Please find page 111 of the 2011 Raytheon annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 140

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
103
LTPP activity related to the expected units was as follows:
(Unit amounts in thousands)
Outstanding at December 31, 2008
Granted
Decrease
Vested
Forfeited
Outstanding at December 31, 2009
Granted
Decrease
Vested
Forfeited
Outstanding at December 31, 2010
Granted
Decrease
Vested
Outstanding at December 31, 2011
Units
2,034
495
(21)
(811)
(36)
1,661
439
(194)
(746)
(88)
1,072
458
(66)
(473)
991
Weighted-
Average
Grant Date
Fair Value
$ 55.24
46.04
(11.60)
46.04
63.07
57.65
55.74
56.21
53.33
53.39
50.34
52.33
57.83
74.79
$ 50.07
The increase (decrease) above relates to changes in the amount of expected awards as achievement is measured against
performance goals.
Stock Options
In 2004, we changed the primary form of our broad-based equity compensation from stock options to restricted stock. There
have been no stock options granted since 2005.
Stock option activity was as follows:
(Share amounts in thousands)
Outstanding at December 31, 2008
Exercised
Forfeited or expired
Outstanding at December 31, 2009
Exercised
Forfeited or expired
Outstanding at December 31, 2010
Exercised
Forfeited or expired
Outstanding at December 31, 2011
Exercisable at December 31, 2011
Shares
12,534
(1,353)
(2,449)
8,732
(2,167)
(115)
6,450
(1,867)
(185)
4,398
4,398
Weighted-
Average
Option Price
$ 41.16
30.21
68.17
35.28
30.15
24.40
37.23
33.73
30.85
$ 38.98
$ 38.98
Weighted-
Average
Remaining
Contractual
Term
(In years)
2.7
2.3
1.5
0.8
0.8
Aggregate
Intrinsic
Value
(In millions)
$ 124
142
59
$ 41
$ 41
The total intrinsic value of options exercised in the years ended December 31, 2011, 2010 and 2009 was $29 million, $51
million and $24 million, respectively.