2007-08 - Aditya Birla Nuvo, Ltd

SCHEDULESSCHEDULE 19 (Contd.)SIGNIFICANT ACCOUNTING POLICIES AND NOTES ON ACCOUNTSThe holder of each warrant is entitled to apply for and obtain allotment of 1 Equity Share at a price of Rs. 2,007.45(Face Value of Rs. 10/- at a premium of Rs. 1,997.45 per Share) against each warrant at any time after the date ofallotment but on or before the expiry of 18 months from the allotment in one or more tranches. As per SEBIGuidelines, an amount of Rs. 411.53 Crores, equivalent to 10% of the price has been received from the Promoterand/or Promoter Group of the Company.On March 31, 2008, the Company has received Rs. 307.14 Crores (net of receipt of Rs. 34.13 Crores received onallotment of warrants) on exercise of 1,700,000 Share Warrants of Rs. 10/- each to the Promoter and/or PromoterGroup.Out of the total amount of Rs. 718.67 Crores received from the preferential allotment of the warrants, Rs. 621.17Crores have been utilised. The balance amount of Rs. 97.50 Crores is invested in Mutual Funds.5. Under the Employee Stock Options Scheme - 2006 (ESOS - 2006), the Company has granted 326,013 options to theeligible employees of the Company and its Subsidiaries. These options are convertible into equivalent equityshares of the Company. The details are as under:(A)Employees Stock Option Scheme:Particulars Tranche - I Tranche - IINos. of Options* 159,920 166,093Method of Accounting Intrinsic Value Intrinsic ValueVesting Plan Graded Vesting - Graded Vesting -25% every year 25% every yearExercise Period 5 years from the 5 years from thedate of Vesting date of VestingGrant Date 23.08.2007 25.01.2008Grant Price (Rs. Per Share) 1,180.00 1,802.00Market Price on the date of Grant of Option (Rs.) 1,282.55 1,948.70Intrinsic Value (Rs. in Crores) 1.64 2.44(B)Movement of Options Granted:Particulars Tranche - I Tranche - IIOptions outstanding at the beginning of the year — —Granted during the year 163,280 166,093Exercised during the year — —Lapsed during the year 3,360 —Options outstanding at the end of the year 159,920 166,093Options unvested at the end of the year 159,920 166,093Options exercisable at the end of the year — —* Includes 10,770 options granted to employees of Subsidiaries.(93)