TomTom 2013 Annual Report Download - page 70

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third after one year, the second third after two years and the remaining third after three years from the grant date. These terms result in
options under the plan that cannot be transferred, pledged or charged and may be exercised only by the option holder over a period of seven
years from the grant date but only after completion of the vesting period. Options expire after the exercise period. The options will be covered
at the time of exercise by issuing new shares. The options granted to members of the Management Board include additional performance
conditions in addition to the three years service condition applicable for the eligible employees.
The following table summarises information about the stock options outstanding at 31 December 2013:
Year of
grant
Number outstanding at
31-12-2013
Exercise price per share
(€)
Weighted average
remaining life (in years)
Number exercisable at
31-12-2013
Weighted average
exercise price (€)
2007 18,150 25.55 0.19 18,150 25.55
2009 4,387,490 5.71 - 6.00 2.46 4,387,490 5.75
2010 3,605,500 4.81 - 5.48 3.35 3,605,500 5.33
2011 2,069,950 6.08 - 6.20 4.36 0 n/a
2012 4,100,000 3.34 - 3.51 5.36 15,000 3.50
2013 3,001,000 3.36 - 5.90 6.35 0 n/a
A summary of the group's stock option plans and the movements during the years 2013 and 2012 are presented below:
Option plans 2013 2012
No. Weighted
average exercise
price (€)
No. Weighted
average exercise
price (€)
OUTSTANDING AS AT 1 JANUARY 17,682,662 7.21 16,724,749 9.25
Granted 3,006,000 3.52 4,335,000 3.50
Exercised –281,200 4.65 0 na
Expired –1,639,550 27.86 –1,969,560 16.10
Forfeited –1,585,822 5.53 –1,407,527 7.53
OUTSTANDING AS AT 31 DECEMBER 17,182,090 5.39 17,682,662 7.21
Performance share plan
The existing Performance share plan was introduced in 2011. Under this plan, eligible employees are entitled to receive a cash payment equal
to the value of the number of shares that have vested. These cash-settled performance shares are conditional on the employee completing
three years of service (the vesting period). On 31 December 2013 the outstanding liability with regard to the performance share plan was €
5.3 million (2012: €1.8 million).
The following table provides the movement in the number of performance shares.
Performance share plan 2013 2012
OUTSTANDING AS AT 1 JANUARY 1,407,750 534,667
Vested and paid out 0 –4,967
Granted 1,073,680 1,054,150
Forfeited –124,700 –176,100
OUTSTANDING AS AT 31 DECEMBER 2,356,730 1,407,750
Restricted stock plans
As from 2011, the group introduced a restricted stock plan to retain a selected group of young talented employees. Each restricted-stock unit
gives the right to receive one TomTom share after a three-year vesting period and qualifies as an equity-settled plan. The costs that arise from
this plan are spread over the vesting period and have been determined based on TomTom's share price on the grant date. Total 2013 stock
compensation expenses charged to the stock compensation reserve for this plan amounted to €245 thousand (2012: €133 thousand). As this
plan is not material, no further disclosures are provided.
Notes to the Consolidated Financial Statements / Continued
ANNUAL REPORT AND ACCOUNTS 2013 / 70