Page 79 - Bauxite Resources Annual Report 2014

Annual Report 2014 Bauxite Resources | 77
NOTES TO THE FINANCIAL STATEMENTS
Notes to the Financial Statements cont.
77 Bauxite Resources Annual Report 2014
27. SHARE-BASED PAYMENTS
Director Options and the Employees and Contractors Option Plan
The Company provides benefits to employees and contractors of the Company in the form of share-based payment
transactions, whereby employees and contractors render services in exchange for options to acquire ordinary shares.
Options granted carry no dividend or voting rights. When exercisable, each option is convertible into one ordinary share of the
Company with full dividend and voting rights.
Set out below are summaries of the options granted:
Consolidated Group
2014 2013
Number of
options
Weighted
average
exercise
price cents
Number of
options
Weighted
average
exercise
price cents
Outstanding at the beginning of the year 2,000,000 40.0 6,000,000 36.7
Granted - - - -
Forfeited/cancelled/expired - - (4,000,000) 23.3
Exercised - - - -
Outstanding at year-end 2,000,000 40.0 2,000,000 40.0
Exercisable at year-end 2,000,000 40.0 2,000,000 40.0
The weighted average remaining contractual life of share options outstanding at the end of the financial year was 1.65 years
(2013: 2.65 years), with exercise prices of 40 cents. No options were granted during this year.
Performance Rights
An independent valuation was completed on performance rights granted during the year. Market based vesting conditions were
valued using a hybrid share option pricing model that simulates the share price of the Company as at the test date using a
Monte-Carlo model. For non-market based vesting conditions no discount was made to the underlying valuation model.
Consolidated Group
Description Grant date Expiry date Number of
performance rights
Weighted average
value cents
2014
Peter Canterbury - Class A 14 November 2013 20 May 2015 2,000,000 4.6
(i) The Company’s market capitalisation averaging over a period of 60 consecutive days of trading a daily average of not less than $50M; and
(ii) Completing 12 months of continuous employment with the Company to 20 May 2014.
Peter Canterbury - Class B 14 November 2013 20 May 2016 2,000,000 4.3
(i) The Company’s market capitalisation averaging over a period of 60 consecutive days of trading a daily average of not less than $70M; and
(ii) Completing 24 months of continuous employment with the Company to 20 May 2015.
Peter Canterbury - Class C 14 November 2013 20 May 2017 2,000,000 4.4
(i) The Company’s market capitalisation averaging over a period of 60 consecutive days of trading a daily average of not less than $90M; and
(ii) Completing 36 months of continuous employment with the Company to 20 May 2016.
Employee - Class A 17 December 2013 31 July 2014 414,200 8.1
Rights subject to performance criteria prior to 30 June 2014. Subsequent to year end these rights have converted into fully paid ordinary
shares after meeting performance hurdles.
Employee - Class B 17 December 2013 31 July 2015 348,800 8.4
Rights subject to performance criteria prior to 30 June 2015.
Employee - Class C 17 December 2013 31 July 2016 327,000 8.4
Rights subject to performance criteria prior to 30 June 2016.