Seagate 2009 Annual Report Download - page 117

Table of Contents
SEAGATE TECHNOLOGY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
will be adjusted for subsequent changes in estimated forfeitures. The aggregate fair value of nonvested shares vested during fiscal year 2010 was
approximately $6 million.
Performance Share Activity
The following is a summary of performance share activities:
At July 2, 2010, the total compensation cost related to performance shares granted to employees but not yet recognized was approximately
$2 million. This cost is being amortized on a straight-line basis over a weighted-
average remaining term of 1.6 years. As of July 2, 2010, none of
the performance shares issued have vested.
ESPP
During fiscal years 2010 and 2009, the aggregate intrinsic value of options exercised under the Company's ESPP was approximately
$31 million and $7 million, respectively. At July 2, 2010, the total compensation cost related to options to purchase the Company's common
shares under the ESPP but not yet recognized was approximately $1 million. This cost will be amortized on a straight-line basis over a weighted-
average period of approximately one month.
The following table shows the shares issued, and their respective weighted-average purchase price, pursuant to the ESPP during fiscal year
2010.
Deferred Compensation Plan
On January 1, 2001, the Company adopted the SDCP for the benefit of eligible employees. This plan is designed to permit certain
discretionary employer contributions, in excess of the tax limits applicable to the 401(k) plan and to permit employee deferrals in excess of
certain tax limits. The Company's assets designated to pay benefits under the plan are held by a rabbi trust. The assets and liabilities of a rabbi
trust are accounted for as assets and liabilities of the Company. At July 2, 2010 and July 3, 2009, the assets held in the rabbi trust were
approximately $76 million and $85 million, respectively, and are included in Restricted cash and investments on the Consolidated Balance
Sheets. The deferred compensation obligation related to the rabbi trust included in Accrued expenses on the accompanying Consolidated Balance
Sheets was approximately $82 million and $89 million as of July 2, 2010 and July 3, 2009, respectively.
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Performance Shares
Number of
Shares
Weighted
-
Average
Grant-
Date
Fair Value
(In millions)
Performance Shares at July 3, 2009
1.0
$
22.72
Granted
—
Forfeitures
(0.7
)
$
26.47
Performance Shares at July 2, 2010
0.3
$
12.34
July 30, 2009
January 29, 2010
Shares issued (in millions)
2.5
1.5
Weighted-average purchase price
per share
$
3.37
$
10.48