Share subscription price and market value of Cargotec Corporation stock options 2010A
CARGOTEC CORPORATION, STOCK EXCHANGE RELEASE, 22 MARCH 2010 AT 2:15 P.M. (EET)
The Annual General Meeting on 5 March 2010 decided on issue of stock options to the key personnel of Cargotec and its subsidiaries. The target group of the programme is approximately 60 persons including the members of Cargotec Executive Board.
The share subscription price for stock option 2010A is EUR 21.35/share (the trade volume weighted average quotation of the class B share on the NASDAQ OMX Helsinki Ltd. during 8 March-19 March 2010). The dividend will be deducted from the share subscription price each year. A total of 400,000 new class B shares or existing class B shares held by the Company can be subscribed for with stock options 2010A. The share subscription period for stock options 2010A will be 1 April 2013-30 April 2015.
The beginning of the share subscription period requires attainment of targets established for a performance criterion determined by the Board of Directors annually. Those stock options, for which the targets have not been attained, will expire. The Board of Directors has decided that if the operating profit of the financial year 2010 is below EUR 100 million, the share subscription period with stock options 2010A will not commence; if the operating profit of the financial year 2010 is at least EUR 100 million but below EUR 120 million, the share subscription period will commence with half of the stock options 2010A; if the operating profit of the financial year 2010 is EUR 120 million or above, the share subscription period will commence with all of the stock options 2010A.
The theoretical market value of one stock option 2010A is EUR 8.82. The theoretical market value of the stock options 2010A is EUR 3,528,000 in total. The theoretical market value of one stock option has been calculated through the use of Black & Scholes stock option pricing model with the following input factors: share price EUR 20.34, share subscription price EUR 21.35, risk free interest rate 2.1 percent, validity of stock options five years and volatility 48 percent.
The terms and conditions of the option programme 2010 are available on the Company's internet pages www.cargotec.com.
For further information:
Outi Aaltonen, Senior Vice President, General Counsel, Secretary of the Board of Directors,
tel. +358 204 55 4249
Minna Karhu, Vice President, Corporate Communications, tel. +358 204 55 4630
For further information for investors:
Paula Liimatta, IR Manager, tel. 358 204 55 4634
Cargotec improves the efficiency of cargo flows on land and at sea - wherever cargo is on the move. Cargotec's daughter brands, Hiab, Kalmar and MacGregor are recognised leaders in cargo and load handling solutions around the world. Cargotec's global network is positioned close to customers and offers extensive services that ensure the continuous, reliable and sustainable performance of equipment. Cargotec's sales totalled EUR 2.6 billion in 2009 and it employs more than 9,500 people. Cargotec's class B shares are quoted on the NASDAQ OMX Helsinki. www.cargotec.com