Sony 2006 Annual Report Download - page 122

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120
Presented below is a summary of the activities regarding convertible bond plan for the fiscal years shown:
2004 2005 2006
Weighted- Weighted-
Number of average Number of average Number of Weighted-average
shares exercise price shares exercise price shares exercise price
Years ended March 31 Yen Yen Yen Dollars
Outstanding at beginning of the fiscal year . . . . . . . .
3,802,700 ¥6,870 3,341,700 ¥6,852 3,136,400 ¥6,861 $58.64
Exercised . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
————(484,200) 5,952 50.87
Forfeited . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(461,000) 6,943 (205,300) 6,668 (158,700) 7,989 68.28
Outstanding at end of the fiscal year . . . . . . . . . . . .
3,341,700 ¥6,852 3,136,400 ¥6,861 2,493,500 ¥8,133 $69.51
Exercisable at end of the fiscal year . . . . . . . . . . . . .
2,614,700 ¥7,042 2,923,300 ¥6,952 2,493,500 ¥8,133 $69.51
There were no shares granted under the convertible bond plan during the fiscal years ended March 31, 2004, 2005 and 2006. All
shares under the convertible bond plan were exercisable as of March 31, 2006.
A summary of convertible bond options outstanding and exercisable at March 31, 2006 is as follows:
Outstanding and exercisable
Weighted-
Number of Weighted-average average
Exercise price range shares exercise price remaining life
Yen Yen Dollars Years
¥ 5,952–10,000 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,117,200 ¥ 7,229 $ 61.79.3.96
.
10,001–13,220 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 376,300 13,220 112.99.4.08
.
¥ 5,952–13,220 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,493,500 ¥ 8,133 $ 69.51.3.98
.
(2) Convertible bond plan:
Sony has an equity-based compensation plan for selected
executives of Sony’s United States of America subsidiaries using
U.S. dollar-denominated non-interest bearing convertible bonds
which have characteristics similar to that of an option plan. Each
convertible bond can be converted into 100 shares of the
common stock of Sony Corporation at an exercise price based
on the prevailing market rate shortly before the date of grant.
The convertible bonds vest ratably over a three-year period and
are exercisable up to ten years from the date of grant. As the
convertible bonds were issued in exchange for a non-interest
bearing employee loan and a right of offset exists between the
convertible bonds and the employee loans, no accounting
recognition was given to either the convertible bonds or the
employee loans in Sony’s consolidated balance sheet.
(3) Stock acquisition rights:
During the fiscal year ended March 31, 2003, Sony adopted an
equity-based compensation plan that issues common stock
acquisition rights for the purpose of granting stock options to
selected directors, corporate executive officers and employees
of Sony, pursuant to the Commercial Code of Japan. The stock
acquisition rights generally vest ratably over a period of three
years and are exercisable up to ten years from the date of grant.
Presented below is a summary of the activities regarding stock acquisition rights plan for the fiscal years shown:
2004 2005 2006
Weighted- Weighted-
Number of average Number of average Number of Weighted-average
shares exercise price shares exercise price shares exercise price
Years ended March 31 Yen Yen Yen Dollars
Outstanding at beginning of the fiscal year . . . . . . . . 2
,647,900 ¥4,845 5,173,600 ¥4,424 7,350,500 ¥4,288 $36.65
Granted . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
2,621,400 4,220 2,433,600 3,996 2,491,600 3,936 33.64
Exercised . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
—— (27,400) 3,896 (364,800) 4,216 36.06
Forfeited . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(95,700) 3,896 (229,300) 4,419 (376,600) 4,441 37.96
Outstanding at end of the fiscal year . . . . . . . . . . . .
5,173,600 ¥4,424 7,350,500 ¥4,288 9,100,700 ¥4,351 $37.19
Exercisable at end of the fiscal year . . . . . . . . . . . . .
430,900 ¥5,291 1,674,000 ¥4,652 3,136,200 ¥4,629 $39.56