Annual Report and Accounts - Hemscott IR

TRAVIS PERKINS ANNUAL REPORT AND ACCOUNTS 2012
8. Share-based payments continued
The number and weighted average exercise price of share options is as follows:
THE GROUP
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2012 2011
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Weighted Number Number Weighted Number
average of of nil price average Number of nil price
exercise price options options exercise price of options options
In thousands of options
p No. No. p No. No.
Outstanding at the beginning of the period 636 8,050 4,875 582 8,917 4,454
Forfeited during the period 598 (536) (92) 778 (1,290) (712)
Exercised during the period 552 (1,379) (500) 392 (2,473) (248)
Granted during the period 839 1,583 1,416 657 2,896 1,381
Outstanding at the end of the period 695 7,718 5,699 636 8,050 4,875
Exercisable at the end of the period 792 1,227 1,540 718 1,656 -
Share options were exercised on a regular basis throughout the year. The weighted average share price for options exercised during the year was 1,037
pence (2011: 837 pence).
Details of the options outstanding at 31 December 2012 were as follows:
THE GROUP
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2012 2011
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Executive Nil price Executive Nil price
options SAYE options options SAYE options
Range of exercise prices (pence) 201-1,611 442-1,114 - 201-1,611 442-1,114 -
Weighted average exercise price (pence) 880 651 - 733 604 -
Number of shares (thousands) 1,499 6,220 5,699 1,992 6,058 4,874
Weighted average expected remaining life (years) 0.7 2.1 0.9 0.7 2.6 1.2
Weighted average contractual remaining life (years) 4.9 2.6 7.7 5.3 3.1 8.2
If all 1.5 million outstanding executive options vest and then are exercised on the date of vesting, or in the case of SAYE all 6.2 million shares are acquired
on the first possible day, 7.7 million of shares will be issued for a consideration of £53.7m in the years ending 31 December:
31 December 2013 2014 2015 2016 2017
No. Value No. Value No. Value No. Value No. Value
m £m m £m m £m m £m m £m
Options 1.2 10.4 0.2 1.4 0.1 1.4 - - - -
SAYE 1.9 9.5 2.1 13.8 1.4 11.2 0.6 4.1 0.2 1.9
The table above shows theoretical amounts. For the Company to receive the cash indicated in the periods shown, the following must occur:
• All performance conditions on executive share options must be fully met;
• Options must be exercised on the day they vest (option holders generally have a 7 year period post vesting to exercise the option);
• The share price at the exercise date for SAYE options must exceed the exercise price and every holder must exercise;
• All option/SAYE holders must remain with the Company, or leave on good terms.
If none of the requirements are met then the Company will receive no consideration.
The number and weighted average exercise price of share options is as follows:
THE COMPANY
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2012 2011
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Weighted Number Number Weighted Number
average of of nil price average Number of nil price
exercise price options options exercise price of options options
In thousands of options
p No. No. p No. No.
Outstanding at the beginning of the period 606 111 2,197 698 473 2,166
Forfeited during the period 746 (96) - 362 (55) (361)
Exercised during the period 372 (44) (15) 952 (318) (168)
Transferred from other group companies 746 317 80 - - -
Granted during the period 918 12 575 657 11 560
FINANCIAL
STATEMENTS
Outstanding at the end of the period 756 300 2,837 606 111 2,197
Exercisable at the end of the period 784 219 126 713 33 -
99