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Stock Options plan 2011
Stock Option grants for year 2011
As required by Article 84-bis of Consob resolution no. 11971/99 (Regulations for Issuers), notice is hereby given that on April 28, 2011, the Board of Directors of Luxottica Group S.p.A. (MTA: LUX; NYSE: LUX) (the “Company”) awarded a total of 2,039,000 stock options to 328 employees of the Company and its subsidiaries. The stock options were awarded from the Stock Option Plan approved by the Company’s stockholders at the meeting held on June 14, 2006, grant holders the option to subscribe to an equivalent number of ordinary shares of the Company (Par Value Euro 0.06 per share).
The grants are aimed at retaining and rewarding employees in a way that aligns their interests, the interests of the Company and its subsidiaries with those of stockholders. The general features of the Options awarded under the 2006 Stock Option Plan are those described in the Regulations of the Plan and in the other documents available on the Company’s website at www.luxottica.com.
Employees who received awards were selected by the Board of Directors, with the recommendation of the Human Resources Committee, among employees who have been working for the Company or its subsidiaries for at least one year. In granting awards, the Board took into account the role of the employees in the Company or in its subsidiaries and the achievement, in the preceding year, of certain individual performance targets.
The options awarded will vest over a three-year period beginning on the grant date and can be exercised until April 28, 2020. The exercise of the options granted is not subject to any performance target. Please see share based payment schemes (Table 1 of scheme 7 of Annex 3A to Regulations for Issuers dated 11971/99) in the attachment.
Performance Shares Plan 2011
As required by Article 84 bis of the Italian Securities Authority CONSOB Regulations no. 11971/99 (Regulations for Issuers), notice is also given that on April 28, 2011, the Board of Directors granted rights under the Performance Shares Plan (the “Plan”) approved by the shareholders at the Company’s 2008 ordinary stockholders meeting. The Plan is reserved for key employees of the Company and its subsidiaries.
The Board of Directors granted a total of 764,750 rights to receive ordinary shares of the Company without consideration (the “Units”), at the end of a three-year vesting period and subject to certain conditions determined by the Board of Directors.
The terms of the Units awarded under the Plan are the same as those described in the information document and the regulations related to the Plan issued on April 24, 2008 and available from the Company’s website at www.luxottica.com. Employees who received awards under the Plan are senior managers of the Group with highly strategic roles. They were selected by the Board of Directors, with a recommendation of the Company’s Human Resources Committee.
In accordance with the 2008 Performance Shares Plan Regulations, each Unit gives the right to receive one Luxottica Group ordinary share without consideration at the end of a three-year period, subject to the achievement of certain aggregate Group consolidated EPS targets for the fiscal year period of 2011 through 2013, as determined by the Board of Directors solely for the purposes of this Plan.
Based on the official price of the Company’s ordinary shares on the MTA on the day of granting, the estimated cost that the Company expects to incur in connection with the 2011 grants is approximately € 17.5 million. Attached below is Table 1 of scheme 7 of Annex 3A to Regulations CONSOB n.11971/99.
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Please note that regarding the grants of the Stock Options and the Performance Shares Plan to Directors and Senior Managers with Strategic Responsibilities, the Human Resources Committee gave its favourable opinion in accordance with the provisions relating to small amount transactions with related parties and the relevant Procedure approved by the Company.