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Annual Report 2011-12
140
C. Employee Stock Options
A stock option gives an employee, the right to purchase equity shares of the Company at a fixed price within a specific
period of time. The details of exercise price for stock options outstanding at the end of the year are as under:
Year Range of exercise
prices
Number of options
outstanding
Weighted average
remaining contractual
life of options (in
years)
Weighted average
exercise price (`)
2011-2012 `1.35 to `60 338,763 9.65 21.91
2010-2011 `1.35 to `60 364,110 10.65 22.07
Options granted are exercisable for a maximum period of 14 years after the scheduled grant date as per the Scheme
The Company has accounted for the charge under Intrinsic Value method for options granted to its employees under
this scheme. Same is included in Employee benefit expenses.
Difference between employee compensation cost (calculated using the intrinsic value of stock options) and the employee
compensation cost (calculated on the fair value of the options) is `9.54 lacs (Previous year `5.98 lacs).
II. One of the subsidiary Company, Firefly e-Ventures Limited has granted Employee Stock Options (ESOPs) to its own
employees and to the employees of its Ultimate Holding Company “HT Media Limited” and to the employees of its Fellow
subsidiaries “Hindustan Media Ventures Limited” under the Scheme (“Firefly ESOP 2009”).
A. Details of these plans are given below:
Employee Stock Options
A stock option gives an employee, the right to purchase equity shares of Firefly e-Ventures Limited at a fixed price
within a specific period of time. The grant price (or strike price) is fixed as below:
i. For options granted during the financial year 2009-10 shall be `10 each per option
ii. For options granted in any financial year commencing on or after April 1, 2010 shall be the fair market value of one
share as on the date of grant or face value of share whichever is higher.
B. Details of stock options granted during the year ended 31 March, 2012 are as given below:
Type of
arrangement
Date of grant Options
granted
(nos.)
Fair value
on the
grant date
(`)
Vesting conditions Weighted
average
remaining
contractual
life in years
Employee 11th April, 2011 424,050 5.11 1/4 of the shares vest each year over a
Stock Options
period of four years starting from one
year after the date of grant.
C. Summary of activity under the plan for the year ended 31 March 2012 and 31 March, 2011 are given below.
Employee Stock Options
Employee stock options As at
31 March, 2012
Number of
options
Weightedaverage
exercise price
(`)
Weightedaverage
remaining
contractual
life (in years)
Number of
options
As at
31 March, 2011
Weightedaverage
exercise price
(`)
11.64
Weightedaverage
remaining
contractual
life (in years)
Outstanding at the
beginning of the year
9,745,400 10 12.15 9,587,100 10 12.53
Granted during the year 424,050 10 - 339,200 10 -
Forfeited during the year 1,249,475 10 - 180,900 10 -
Exercised during the year - - - - - -
Expired during the year - - - - - -
Outstanding at the end of
the year
8,919,975 10 11.64 9,745,400 10 12.15
Weighted average fair value of the options outstanding is `4.84 (Previous Year `4.81) per option. Since no options
have been exercised during the period, thus weighted average share price has not been disclosed.