Luxottica Group, S.p.A. (LUX)

STOCK OPTIONS PLANS

The Extraordinary Shareholders’ Meeting on March 10, 1998 resolved to increase the stock capital in one or more times, up to a maximum amount of Lire 1,225,000,000, through the issuance of ordinary shares to be reserved for grants to officers and key employees of the Group according to a Stock Option Plan approved by the same Shareholders’ Meeting in the ordinary part. The conversion of Luxottica Group’s authorized and issued share capital into Euro, approved on June 26, 2001, resulted in a decrease in the number of ordinary shares available for the aforementioned Stock Options Plan.

In consideration of the reduction of the number of ordinary shares available for the Stock Options Plan, and the growing size of Luxottica Group resulting in a larger number of potential employee beneficiaries of stock options, on September 20, 2001, the Extraordinary Shareholders’ Meeting resolved to increase the capital stock in one or more times, up to a maximum amount of Euro 660,000, through the issuance of new ordinary shares reserved for grants to officers and key employees of the Group according to a Stock Option Plan approved by the same Shareholders’ Meeting in the ordinary part.

On September 14, 2004, Luxottica Group announced that its majority shareholder, Leonardo Del Vecchio, allocated approximately 9.6 million of Luxottica Group shares held by him through the holding company Delfin S.a.r.l., to a Stock Options plan for the Group’s top management. Options issued through this plan became exercisable on June 30, 2006 upon the accomplishment of certain financial objectives.

The Extraordinay Shareholders’Meeting on June 14, 2006 resolved to increase the capital stock in one or more times, up to a maximum amount of Euro 1,200,000, through the issuance of new ordinary shares reserved for grants to officers and key employees of the Group according to a Stock Option Plan approved by the same Shareholders’ Meeting in the ordinary part.

STOCK OPTIONS PLANS

At the Extraordinary Shareholders’ Meeting on March 10, 1998, shareholders approved the adoption of a Stock Options Plan under which the capital of the Luxottica Group may be increased one or more times, up to a maximum amount of Lire 1,225,000,000, through the issue of 12,250,000 ordinary shares to be reserved for grants to officers and key employees of the Group. The conversion of Luxottica Group’s authorized and issued share capital into Euro, approved on June 26, 2001, resulted in a decrease in the number of ordinary shares available for the aforementioned Stock Options Plan.

In consideration of the reduction of the number of ordinary shares available for the Stock Options Plan, and the growing size of Luxottica Group resulting in a larger number of potential employee beneficiaries of stock options, on September 20, 2001, the Extraordinary Shareholders’ Meeting approved a Stock Options Plan under which the capital of the Luxottica Group could be increased one or more times, up to a maximum amount of Euro 660,000, through the issuance of new ordinary shares reserved for grants to officers and key employees of the Group.

On September 14, 2004, Luxottica Group announced that its majority shareholder, Leonardo Del Vecchio, allocated approximately 9.6 million shares, representing approximately 2.11% of the capital of Luxottica Group, held by him through the holding company La Leonardo Finanziaria S.r.l., to a stock options plan for the Group’s top management. Options issued through this plan will become exercisable upon the accomplishment of certain financial objectives. Consequently, the cost of these shares, calculated based on the market value, will not be recorded in the balance sheet until such a time as the number of exercisable options is known. On June 14, 2006 the Extraordinary Shareholders’ Meeting approved a capital increase up to a maximum of Euro 1,200,000 reserved to the Stock Options Plan 2006 granted to the Group employees. This plan, and the related procedures, was approved by the same Extraordinary Shareholders’ Meeting.