annual report - Tenaga Nasional Berhad

Notes To The Financial Statements34 SHARE CAPITAL (CONT’D.)group and Company2008 2007RMRMIssued and fully paid:Ordinary shares of RM1.00 each 4,334,518,345 4,331,709,068Special Rights Redeemable Preference Share of RM1.00 each 1 1Total share capital issued and fully paid as at the end of the financial year 4,334,518,346 4,331,709,069Movements on issued ordinary shares of RM1.00 eachAs at the beginning of the financial year 4,331,709,068 4,135,170,337Issuance of ordinary shares of RM1.00 each under the ESOS II 2,573,225 66,736,312Issuance of ordinary shares of RM1.00 under theexchange of Guaranteed Exchangeable Bonds 0 114,699,925Issuance of ordinary shares of RM1.00 under theUnsecured Convertible Redeemable Income Securities 236,052 15,102,494As at the end of the financial year 4,334,518,345 4,331,709,068Employees’ Share Option Scheme (‘ESOS’)The Company implemented a new Employees’ Share Option Scheme II (‘ESOS II’) on 8 July 2003 for a period of 10years. The ESOS II is governed by the bye-laws, which were approved by the shareholders at an Extraordinary GeneralMeeting (‘EGM’) on 29 May 2003 and amended at the EGM held on 15 December 2005.The main features of ESOS II are as follows:[ Tenaga Nasional Berhad ] [ Annual Report 2008 ]242(a)(b)(c)(d)The total number of ordinary shares to be issued by the Company under the ESOS II shall not exceed 10% of totalissued and paid-up ordinary shares of the Company, such that not more than 50% of the shares available under theESOS II are allocated, in aggregate, to Directors and senior management.Not more than 10% of the shares available under the ESOS II is allocated to any individual Director or employeewho, either singly or collectively through his/her associates, holds 20% or more in the issued and paid-up capital ofthe Company.Any employee, including any Executive Director and those categorised as Fixed Term Senior Management, butexcluding a Skim A employee (the scheme governing employees who, upon the corporatisation and privatisation ofthe Lembaga Letrik Negara in 1990, remain employed under the Government’s terms and conditions) are eligible toparticipate in the ESOS II. Employees under the Fixed Term Senior Management are also entitled to the PerformanceOptions based on them meeting prescribed performance targets.The option price under the ESOS II is the higher of the weighted average market price of the shares as shown inthe daily official list issued by the Bursa Malaysia Securities Berhad for the five trading days preceding the date ofoffer with a 10% discount on the nominal value of the shares, subject always that the discount shall not be applicableto any shares under the Performance Option.