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HT Media Limited
Weighted average fair value of the options outstanding is `4.85 (Previous year `4.82) per option.
The estimated fair value of each stock option granted on each date during the current year was made using the Black-
Scholes option pricing model with the following assumptions:
Grant Date Expected
volatility for
stock options
Contractual life
in years
Dividend yield Risk-free
interest rate
Exercise price
of options
Fair Value of
options granted
11th April, 2011 0% 8.25 0% 8.4% 10 5.11
III
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 `91.70 lacs (Previous year `67.53 lacs). However, these
have not been charged back to the company by the subsidiary company, hence not accounted for by the Company.
HT Media Limited has given loan of `242.70 lacs to “HT Group Companies – Employee Stock Option Trust” which in turn
has purchased 37,338 Equity Shares of `10/- each of Hindustan Media Ventures Limited (HMVL) – Subsidiary Company of
HT Media Limited, for the purpose of granting Options under the ‘HT Group Companies –Employee Stock Option Scheme’
(the Scheme), to eligible employees of the group. On these purchased shares, the trust has also received 238,964 shares out of
the bonus shares issued by the HMVL on February 21, 2010.
Details of these plans are given below:
Employee Stock Options
A stock option gives an employee, the right to purchase equity shares of the HMVL at a fixed price within a specific period of time.
A. Details of Options granted as on March 31, 2012 are given below:
Type of Date of grant Options Fair value Vesting conditions Weighted
arrangement
granted (nos.) on the grant
average
date (`)
remaining
contractual
life in years
Employee 15
Stock Options
th September 147,259 16.07 1/4 of the shares vest each year over a 9.47
2007
period of four years starting from one year
after the date of grant
Employee
Stock Options
Employee
Stock Options
Employee
Stock Options
Employee
Stock Options
20 th May 2009 11,936 14.39 1/4 of the shares vest each year over a
period of four years starting from one year
after the date of grant
4 th February
2010
116,253 87.01 50% on the date of grant and 25% vest
each year over a period of 2 years starting
from the date of grant
8 th March 2010 4,030 56.38 1/4 of the shares vest each year over a
period of four years starting from one year
after the date of grant
1 st April 2010 4545 53.87 1/4 of the shares vest each year over a
period of four years starting from one year
after the date of grant
B . Summary of activity under the plans for the period ended March 31, 2012 and March 31, 2011 are given below.
Particulars 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
(`)
11.15
9.47
11.95
12.00
(` in lacs)
Weightedaverage
remaining
contractual
life (in years)
Outstanding at the
beginning of the year
273,049 21.22 10.58 275,284 21.56 11.62
Granted during the year - - - 4,545 60 12.01
Forfeited/Cancelled
during the year
3,389 19.98 - - - -
Exercised during the year 19,266 19.96 - 6,780 19.95 -
Expired during the year - - - - -
Outstanding at the end of
the year
250,394 21.33 9.58 273,049 21.22 10.58
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