Full Report - Fraser and Neave Limited

NOTES TO THE FINANCIAL STATEMENTS
for the year ended 30 September 2006
31. PROVISION FOR EMPLOYEE BENEFITS (cont’d)
(d) Share Options (cont’d)
Fraser & Neave Holdings Bhd Executives’ Share Option Scheme
2004 2005 2006 2007
Dividend yield (%) 3.9% 5.1% 5.7% 5.1%
Expected volatility (%) 23.6% 17.2% 12.9% 15.6%
Risk-free interest rate (%) 5.6% 4.8% 3.6% 3.7%
Expected life of option (years) 4.5 4.5 4.5 4.5
Share price at date of grant (MYR) 3.84 4.86 5.35 6.15
Exercise share price (MYR) 3.83 4.89 5.54 6.12
Frasers Property (China) Limited Share Option Scheme
2004 2005 2006
Dividend yield (%) – – –
Expected volatility (%) 80.0% 80.0% 75.0%
Risk-free interest rate (%) 3.5% 2.9% 4.1%
Expected life of option (years) 6.3 5.8 5.2
Share price at date of grant (HKD) 0.167 0.167 0.145
Exercise share price (HKD) 0.171 0.167 0.145
Asia Pacific Breweries Limited Executives’ Share Option Scheme
Share Phantom share Phantom share
option option option
2004 2005 2006
Dividend yield (%) 4.1% 3.9% 3.3%
Expected volatility (%) 30.6% 25.0% 16.3%
Risk-free interest rate (%) 2.2% 2.4% 2.7%
Expected life of option (years) 6.0 4.6 3.7
Share price at date of grant (S$) 6.39 7.60 8.94
Exercise share price (S$) 6.29 7.48 8.96
The expected life of the option is based on historical data and is not necessarily indicative of exercise patterns
that may occur. The expected volatility reflects the assumptions that the historical volatility is indicative of
future trends, which may also not necessarily be the actual outcome.
Fraser and Neave, Limited & Subsidiary Companies Annual Report 2006 153