Non-U.S. Operating Entities Performance Stock Units
FINANCIAL STATEMENTS
2012
Shares
Weighted Average Exercise
Price (in
Outstanding at beginning of year
1 379 150
55.71
Granted
397 047
30.58
Forfeited
(16 463)
55.73
Expired
(153 479)
50.97
Outstanding at end of year
1 606 255
49.95
Options exercisable at end of year
742 612
54.61
The weighted average remaining contractual term for the stock options outstanding as at December 31, 2014 was 3.65 years
(2013: 4.31 years; 2012: 4.34 years). The weighted average share price for options exercised during 2014, 2013 and 2012
amounted €56.18, €51.48 and €0.00 (as there were no exercises), respectively.
The following table summarizes stock options outstanding and exercisable as of December 31, 2014, and the related weighted
average remaining contractual life (years) and weighted average exercise price under the Delhaize Group stock option plans of
non-U.S. operating companies:
Range of Exercise Prices
Weighted Average
Number Remaining Contractual Life
Outstanding (in years)
Weighted Average Exercise
Price (in
€26.39 - €43.67
505 030
4.62
33.04
€49.25 - €54.11
726 050
3.52
51.47
€66.29 - €71.84
327 692
2.44
68.95
€26.39 - €71.84 1 558 772 3.65 49.17
Stock options exercisable at the end of 2014 had a weighted average remaining contractual term of €2.46 years (2013: 2.60
years; 2012: 2.80 years).
The weighted average fair values of stock options granted and assumptions used on the date of grant for their estimations were
as follows:
Dec. 2013
Nov. 2013
May 2013
Nov. 2012
May 2012
Share price (in
43.20
43.67
50.09
26.39
28.41
Expected dividend yield
3.4
3.4
3.4
3.4
3.3
Expected volatility
24.3
24.5
27.0
26.7
26.0
Risk-free interest rate
1.1
0.9
0.7
0.6
0.7
Expected term (years)
6.0
6.0
6.0
5.8
5.8
Fair value of options granted (in
6.98
6.52
8.43
4.27
3.86
As from 2014, Delhaize Group granted performance stock units to European members of the Group's Executive Committee and
certain other senior executives as determined by the Group's Board of Directors.
Performance stock units are restricted stock units, with service and performance conditions. The cliff-vesting of these
performance stock units is linked to the achievement of a non-market financial performance condition (Shareholders Value
Creation over a cumulative 3-year period). Shareholders Value Creation has been defined by the Group as six times underlying
EBITDA minus the net debt, as also defined by the Group.
Performance stock units granted to European associates under the "Delhaize Group 2014 European Performance Stock Unit
Plan" were as follows:
Effective Date of Grant
May 2014
Fair value at grant
date
€53.45
Number of Shares
Underlying Award
Issued
140 981
Number of Shares
Underlying
Awards
Outstanding at
December 31, 2014
132 705
Number of
Beneficiaries
(at the moment of
issuance)
80
During 2014, 8 276 performance stock units forfeited.
