This excerpt taken from the LPL 6-K filed Nov 6, 2009.
17 Share-Based Payments
The terms and conditions of grants as of September 30, 2009 are as follows:
Type of arrangement
Stock appreciation rights (granted to senior executives)
Date of grant
April 7, 2005
Weighted-average exercise price (*1)
Number of rights granted
Number of rights forfeited (*2)
Number of rights cancelled (*3)
Number of rights outstanding
From April 8, 2008 to April 7, 2012
Two years of service from the date of grant
The exercise price at the grant date was (Won)44,260 per stock appreciation right (SARs). However, the exercise price was subsequently adjusted to
(Won)44,050 due to additional issuance of common shares in 2005.
SARs were forfeited in connection with senior executives who left the Company before meeting the vesting requirement.
If the appreciation of the Companys share price is equal or less than that of the Korea Composite Stock Price Index (KOSPI) over the three-year period
following the grant date, only 50% of the outstanding SARs are exercisable. As the actual increase rate of the Companys share price for the three-year period ending April 7, 2008, was less than that of the KOSPI for the same three-year
period, only 110,000 shares, 50% of the outstanding SARs as of September 30, 2009 are exercisable.
The changes in the number of SARs outstanding for the nine-month period ended September 30, 2009 and for the year ended December 31, 2008 are as follows: