THQ 2009 Annual Report Download - page 92

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March 31, 2008, it was determined that certain performance targets had been met with respect to
our fiscal year ended March 31, 2007 and as such certain of our officers vested in 20% of
outstanding awards.
• PARSUs granted to our non-employee directors under the 1997 Plan are currently fully vested.
• Deferred Stock Units (‘‘DSUs’’) granted to our non-employee directors under the LTIP vest
monthly over a twelve month period, however, may not be released to a director until thirteen
months after the date of grant. DSUs granted to our non-employee directors prior to July 31, 2008
under the LTIP vested immediately.
• RSUs granted to our employees are awards which do not carry any acceleration conditions. Certain
awards vest with respect to 100% of the shares on the third anniversary of the grant date and other
awards vest at each anniversary of the grant date over a three-year period, all subject to continued
employment of the grantee.
The fair value of our nonvested restricted stock and restricted stock units is determined based on the
closing trading price of our common stock on the grant date. The fair value of PARS, PARSUs, DSUs and
RSUs granted is amortized over the vesting period.
Beginning in March 2007, we offered our non-executive employees the ability to participate in an employee
stock purchase plan (‘‘ESPP’’). Under the Amended and Restated ESPP, up to 1,000,000 shares of our
common stock may be purchased by eligible employees during six-month offering periods that commence
each March 1 and September 1 (each, an ‘‘Offering Period’’). The first business day of each Offering
Period is referred to as the ‘‘Offering Date.’’ The last business day of each Offering Period is referred to as
the ‘‘Purchase Date.’’ Pursuant to our ESPP, eligible employees may authorize payroll deductions of up to
15 percent of their base salary, subject to certain limitations, to purchase shares at 85 percent of the lower
of the fair market value of our common stock on the Offering Date or Purchase Date. The fair value of the
ESPP options granted is amortized over the offering period. During the year ended March 31, 2009,
employees purchased 495,533 and 198,178 shares at a price of $2.13 and $13.02 per share, respectively, on
the Purchase Dates. During the year ended March 31, 2008, employees purchased 180,229 and 124,650
shares at a price of $15.90 and $24.47 per share, respectively, on the Purchase Dates. As of March 31, 2009,
we had no shares available for issuance under the ESPP. Accordingly, we suspended offerings under the
ESPP effective as of March 1, 2009.
Any references we make to unspecified ‘‘stock-based compensation’’ and ‘‘stock-based awards’’ are
intended to represent the collective group of all our awards and purchase opportunities: stock options,
PARS, PARSUs, DSUs, RSUs and ESPP options. Any references we make to ‘‘nonvested shares’’ and
‘‘vested shares’’ are intended to represent our PARS, PARSU, DSU and RSU awards.
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