NVIDIA 2013 Annual Report Download - page 222

NVIDIA CORPORATION AND SUBSIDIARIES
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
(Continued)
78
Year Ended
January 26,
2014 January 27, 2013 January 29, 2012
Stock Options (Using a binomial model)
Weighted average expected life (in years)............................................ 2.4-3.5 3.1-4.9 3.0-5.4
Risk-free interest rate............................................................................ 1.8%-3.0% 1.5%-2.3% 1.9%-3.8%
Volatility ............................................................................................... 28%-37% 39%-49% 46%-65%
Dividend yield ...................................................................................... 1.9%-2.4% 2.4% —
Year Ended
January 26,
2014 January 27, 2013 January 29, 2012
Employee Stock Purchase Plan (Using the Black-Scholes model)
Weighted average expected life (in years)............................................ 0.5-2.0 0.5-2.0 0.5-2.0
Risk-free interest rate............................................................................ 0.1%-0.4% 0.1%-0.3% 0.1%-0.7%
Volatility ............................................................................................... 32%-37% 44%-47% 57%-61%
Dividend yield ...................................................................................... 2.0%-2.4% — —
Equity Incentive Program
We grant stock options, RSUs, and stock purchase rights under the following equity incentive plans.
Amended and Restated 2007 Equity Incentive Plan
At the Annual Meeting of Stockholders held on June 21, 2007, our stockholders approved the NVIDIA Corporation
2007 Equity Incentive Plan, or the 2007 Plan. At the Annual Meeting of Stockholders held on May 17, 2012, our stockholders
approved an amendment and restatement of the 2007 Plan. At the Annual Meeting of Stockholders held on May 15, 2013,
our stockholders re-approved the 2012 amendment and restatement of the 2007 Plan, or the Restated 2007 Plan.
The Restated 2007 Plan authorizes the issuance of incentive stock options, nonstatutory stock options, restricted stock,
restricted stock unit, stock appreciation rights, performance stock awards, performance cash awards, and other stock-based
awards to employees, directors and consultants. Only our employees may receive incentive stock options. With the
amendment and restatement of the 2007 Plan, which increased the number of shares of common stock authorized for issuance
under the 2007 Plan by 25,000,000 shares, up to 177,767,766 shares of our common stock may be issued pursuant to stock
awards granted under the Restated 2007 Plan . Currently, we grant stock options and RSUs under our equity incentive
plans. As of January 26, 2014, there were 24,722,435 shares available for future issuance under the Restated 2007 Plan.
Stock options granted to employees, subject to certain exceptions, vest over a four year period, subject to continued
service, with 25% vesting on the anniversary of the hire date in the case of new hires or the anniversary of the date of grant
in the case of grants to existing employees and 6.25% vesting at the end of each quarterly period thereafter. Options granted
under the 2007 Plan generally expire ten years from the date of grant.
With respect to RSUs, subject to certain exceptions, RSUs granted to employees vest over a four year period, subject
to continued service, with 25% vesting on a pre-determined date that is close to the anniversary of the date of grant and
12.5% vesting semi-annually thereafter until fully vested.
Unless terminated sooner, the Restated 2007 Plan is scheduled to terminate on March 21, 2022. Our Board may suspend
or terminate the Restated 2007 Plan at any time. No awards may be granted under the Restated 2007 Plan while the Restated