Siemens 2007 Annual Report Download - page 273

Notes to Consolidated Financial Statements 273
(in millions of €, except where otherwise stated and per share amounts)
Notes to Consolidated Financial Statements
entitling the holders to subscribe to new shares of Siemens AG. The authorization
was to expire on December 31, 2007. The shareholders also approved conditional
share capital of €267 for the issuance of up to 89 million shares to service the
exercise of the conversion or option rights of holders of these convertible bonds or
warrants attached to these bonds (Conditional Capital 2003). As mentioned above,
Conditional Capital 2003 as well as the aforementioned authorization were termi-
nated by resolution of the Annual Shareholders’ Meeting on January 22, 2004.
Treasury stock
At the January 2007 Annual Shareholders’ Meeting, the Company’s shareholders
authorized the Company to repurchase up to 10% of the €2,675 common stock out-
standing on the date of the Annual Shareholders’ Meeting until July 24, 2008.
Such stock may be sold via a stock exchange; or (i) retired with the approval of the
Supervisory Board, (ii) used to meet the Company’s obligations under the 1999
and the 2001 Siemens Stock Option Plans, (iii) offered for purchase to individuals
currently or formerly employed by the Company or any of its subsidiaries or
granted and transferred with a holding period of at least two years; or (iv) used to
service conversion or option rights granted by the Company or any of its subsid-
iaries. In addition, the Supervisory Board shall be authorized to offer repurchased
shares to the members of the Managing Board of Siemens AG for purchase as
stock-based compensation under the same terms and conditions as those offered
to employees of the Company. Additionally, the Supervisory Board may grant and
transfer such shares to members of the Managing Board with a holding period of
at least two years.
In fi scal 2007, the Company repurchased a total of 1,306,476 shares, including
the 1,290,000 shares relating to the capital increase from Authorized Capital
2006, at an average price of €77.00 per share. In fi scal 2007, a total of 1,306,508
shares of Treasury Stock were sold. Thereof, 1,294,159 shares were issued to
employees under the employee share purchase program with compensation char-
acter (see Note 33 for additional information) and 12,349 shares of Treasury Stock
were transferred primarily as settlement to former SNI AG stockholders. As of Sep-
tember 30, 2007, 383 shares of stock remained in treasury with a carrying amount
of €29 thousand (notional value €1 thousand).
In fi scal 2006, the Company repurchased a total of 5,925 thousand shares at an
average price of €71.11 per share primarily for the purpose of selling them to
employees and stock-based compensation plan participants and as settlement to
former SNI stockholders. In fi scal 2006, a total of 5,934 thousand shares of trea-
sury stock were sold. Thereof, 4,166 thousand shares were issued to stock-based
compensation plan participants to accommodate the exercise of stock options. In
addition, in fi scal 2006, 1,760 thousand shares were issued to employees under an
employee share purchase program with compensation character. See Note 33 for
additional information on share-based compensation. As of September 30, 2006,
415 shares of stock remained in treasury with a carrying amount of €29 thousand
(notional value €1 thousand).