sain t-gobain annu al report 2008 annual report

Movements relating to stock options outstanding in 2006,
2007 and 2008 are summarized below:
€4 par Average
value exercise
shares price (in €)
Options outstanding
at December 31, 2005 21,738,119 38.06
Options granted 4,025,800 58.08
Options exercised (3,974,551) 34.79
Options forfeited (241,400) 40.26
Options outstanding
at December 31, 2006 21,547,968 42.38
Options granted 3,673,000 71.56
Options exercised (3,178,885) 33.04
Options forfeited (50,000) 58.10
Options outstanding
at December 31, 2007 21,992,083 48.56
Options granted 3,551,900 28.62
Options exercised (198,376) 33.33
Options forfeited (50,000) 71.56
Options outstanding
at December 31, 2008 25,295,607 45.84
At December 31, 2008, 12,127,557 options were exercisable at an
average exercise price of €39.21.
At that date, 4,039,826 options were available for grant under
the authorization given by the Shareholders’ Meeting of
June 7, 2007. This figure represents an overall ceiling for stock
options and stock grants.
Stock option expense recorded in the income statement
amounted to €41 million in 2008 (2007: €43 million; 2006:
€39 million).
The fair value of options granted in 2008 amounted to
€22 million. Fair value was calculated using a Black & Scholestype
option pricing model and the same assumptions as those
used to measure the expense in accordance with IFRS 2.
The table below summarizes information about stock options outstanding at December 31, 2008:
152
Grant Options exercisable Options not exercisable Total options Type of
date outstanding options
Exercise Number Weighted Exercise Number Number
price of average price of options of options
(in €) options contractual life (in €)
(in months)
1999 40.63 324,124 11 324,124 Purchase
2000 37.72 865,760 23 865,760 Purchase
2001 40.22 1,708,804 35 1,708,804 Purchase
2002 23.53 1,183,825 47 1,183,825 Purchase
2003 35.67 2,675,491 59 2,675,491 Subscription
2004 43.56 3,630,853 71 43.56 3,630,853 Subscription
2005 45.71 1,738,700 83 45.71 2,018,550 3,757,250 Subscription
2006 58.08 95 58.08 3,974,600 3,974,600 Subscription
2007 71.56 107 71.56 3,623,000 3,623,000 Subscription
2008 28.62 119 28.62 3,551,900 3,551,900 Subscription
or purchase
Total 12,127,557 13,168,050 25,295,607
Following the four-for-one stock split of June 27, 2002, the number of options under the 1999, 2000 and 2001 plans has been multiplied by four in order to permit
meaningful year-on-year comparisons.
Saint-Gobain – Financial Report 2008