EBay (EBAY)

 

Prior to our initial public offering in 1998, our Board of Directors approved three stock option grants outside of formally approved stockholder plans to two independent directors upon their joining our Board of Directors and to an executive officer upon his hiring. All of such option grants vested 25% one year from the date of grant, and the remainder vested at a rate of 2.08% per month thereafter and expire 10 years from the date of grant. The options granted to the independent directors were immediately exercisable, subject to repurchase rights held by us, which lapsed over the vesting period. The terms and conditions of such grants are otherwise identical to nonqualified option grants made under the stock option plan in effect at that time. At the time of such grants, members of our Board of Directors (and their affiliates) beneficially owned in excess of 90% of our then outstanding voting interests. We have previously disclosed such option grants in our Prospectus filed with the Securities and Exchange Commission on September 25, 1998 in connection with our initial public offering under the headings “Management — Director Compensation” and “Management — Compensation Arrangements.” Prior to 2004, one director and the executive officer had exercised all available options under their respective grants. At December 31, 2007, one grant remained outstanding to one independent director, with 153,637 shares to be issued upon exercise of the outstanding options at an average exercise price of $0.39. There were no shares remaining available under these non-stockholder approved plans for future grants as of December 31, 2007.

 

 

Prior to our initial public offering in 1998, our Board of
Directors approved three stock option grants outside of formally
approved stockholder plans to two independent directors upon
their joining our Board of Directors and to an executive officer
upon his hiring. All of such option grants vested 25% one year
from the date of grant, and the remainder vested at a rate of
2.08% per month thereafter and expire 10 years from the
date of grant. The options granted to the independent directors
were immediately exercisable, subject to repurchase rights held
by us, which lapsed over the vesting period. The terms and
conditions of such grants are otherwise identical to
nonqualified option grants made under the stock option plan in
effect at that time. At the time of such grants, members of our
Board of Directors (and their affiliates) beneficially owned in
excess of 90% of our then outstanding voting interests. We have
previously disclosed such option grants in our Prospectus filed
with the Securities and Exchange Commission on
September 25, 1998 in connection with our initial public
offering under the headings “Management —
Director Compensation” and “Management —
Compensation Arrangements.” Prior to 2004, one director and
the executive officer had exercised all available options under
their respective grants. At December 31, 2007, one grant
remained outstanding to one independent director, with
153,637 shares to be issued upon exercise of the
outstanding options at an average exercise price of $0.39. There
were no shares remaining available under these non-stockholder
approved plans for future grants as of December 31, 2007.

 

 

Prior to our initial public offering in 1998, our Board of Directors approved three stock option grants outside of formally approved stockholder plans to two independent directors upon their joining our Board of Directors and to an executive officer upon his hiring. All of such option grants vested over 25% one year from the date of grant, with the remainder vesting at a rate of 2.08% per month thereafter and expire 10 years from the date of grant. The options granted to the independent directors were immediately exercisable, subject to repurchase rights held by us, which lapse over the vesting period. The terms and conditions of such grants are otherwise identical to nonqualified option grants made under the stock option plan in effect at that time. At the time of such grants, members of our Board of Directors (and their affiliates) beneficially owned in excess of 90% of our then outstanding voting interests. We have