Notes to the financial statements - Plasmon

Notes to the financial statements continued
for the year ended 31 March 2003
1,469,500 share options were granted during the year under the 1998 Employee Share Option Scheme (the "1998 Scheme"). The 1998
Scheme allows for the granting of share options up to 15% of the issued ordinary share capital, normally within 42 days following the
preliminary announcement of the final or interim results of the Company. No payment is required for the grant of the share options and
subscription price per share is set at prevailing market rates. These options, as with those issued during the previous year, require the launch of
UDO drives and media before the options can be exercised.
The share options granted in the four years ended 31 March 2001 (at subscription prices per share of £0.465, £0.77, £1.37, £2.74 and £1.14)
also have performance criteria attached to them. Exercise of these share options is conditional on earnings per share for the Group over any
three consecutive years following grant having grown by an average of at least 6 percentage points above inflation. The earnings per share
criteria will be adjusted to remove the impact of the UDO programme. In addition group profits for any financial year have to exceed the levels
shown in the table below:
Granted during Subscription price
the year ended per share Measure of group profits Level of group profits
31 March 1998 £0.465 Before interest and tax £1 million
31 March 1999 £0.77 Before goodwill amortisation,
interest, tax and exceptional items £2.5 million
31 March 2000 £1.37 Before goodwill amortisation, £2.5 million
£2.74 interest, tax and exceptional items £4.0 million
31 March 2001 £1.14 Before goodwill amortisation, £7.0 million
interest, tax and exceptional items
The performance criteria attached to the share options granted during the year ended 31 March 1998 and 1999 have been met. The share
options granted at £1.25 and £2.50 do not have performance conditions attached to them.
21 Reserves
Share premium Profit and loss
account account
£’000 £’000
Group
At 1 April 2002 40,172 (1,568)
Premium on share placing 1,634 –
Issue costs of share placing (84) –
Premium on exercise of share options 347 –
Currency translation differences – (1,563)
Retained loss for the year – (3,406)
At 31 March 2003 42,069 (6,537)
Cumulative goodwill arising on consolidation which has been written off to reserves amounted to £1,301,500 at 31 March 2003 and 31 March
2002.
Share Profit
premium Other and loss
account reserves account
£’000 £’000 £’000
Company
At 1 April 2002 40,172 1,116 (2,939)
Premium on share placing 1,634 – –
Issue costs of share placing (84) – –
Premium on exercise of share options 347 – –
Retained loss for the year – – (247)
At 31 March 2003 42,069 1,116 (3,186)
There were no distributable reserves at 31 March 2003 and 2002.
Plasmon Plc
Annual Report 2003
Notes to the financial statements
42