Notes to the
consolidated
financial statements
32 Share-based compensation continued
continued
Overview
Business review
Governance
Financials
Investors
Ahold Delhaize Annual Report 2016
Granted1,2
Vested4
Converted5
Forfeited
95,323
2,523,756
565,664
Performance
adjustment3
385,773
577,609
(459,969)
105,769
160,657
34,314
21,242
1,935,302
2,114,613
3,527,569
3,112,251
2,970,642
2,412,936
68,525
3,029,244
94,282
75,102
3,462
99,941
38,356
152,773
175,005
96,127
Outstanding
at the end
of 2016
Other employees
2011 grant
2012 grant
2013 grant
2014 grant6
2015 grant7
2016 grant
2016 retention award
Subtotal Management Board members
Total number of shares
1,193,997
14,854,374
32,354
802,193
458,438
6,138,527
395,490
451,046
4,364,099
1,442,170
471,261
6,372,853
3,005,279
2,902,434
4,267,972
1,442,170
1,634,664
15,776,275
8 James McCann, Chief Operating Officer of Ahold USA and member of the Management Board and Executive Committee, stepped down on October 5, 2016. His employment relationship
with Ahold Delhaize will terminate as of April 30, 2017. Outstanding shares under the GRO plan will vest over the term of employment in accordance with the applicable plan rules.
Unvested shares outstanding at the termination date will be forfeited.
4 Represents the conversion of shares, awarded in years prior to the merger, into restricted shares (conversion before applying the performance adjustment) and performance shares.
The outstanding awards remaining from past grants have been split into two parts as explained in the section Treatment of outstanding performance shares.
5 For the conditional and restricted shares, the minimum number of shares that could potentially vest equals the number of outstanding shares. For the TSR performance grants, the
minimum number of shares that could potentially vest would be nil if Ahold Delhaize’s ranking was eight or lower (as explained in the section Main characteristics above). For the RoC and
Sustainability performance grants, the minimum number of shares that could potentially vest equals nil (as explained in the section Main characteristics above).
6 For the conditional and restricted shares, the maximum number of shares that could potentially vest equals the number of outstanding shares. For the TSR performance grants, the
maximum number of shares that could potentially vest equals 175% of outstanding shares if Ahold Delhaize’s ranking is one. For the RoC performance grants and for the Sustainable
retailing performance grants the maximum number of shares that could potentially vest equals 150% of outstanding shares, (as explained in the section Main characteristics above).
7 Represents the incremental fair value for the shares converted in 2016.
1 For the five-year 2011 grant, the number of shares allocated in 2016 represents the actual number of matching shares related to the 2011 grant.
2 The grant date fair value of the matching shares is expensed over the five-year vesting period. This table presents the matching shares as awarded in the year of vesting. The total number
of matching shares granted up to and outstanding at the end of the 2016 is 104,428 (2015: 219,328).
3 Represents the adjustment to the number of shares granted resulting from the TSR ranking and RoC performance.
4 The vesting date of the five-year 2011 grant, the matching shares related to the 2011 grant and the 2013 grant was March 3, 2016. The Euronext share price was €20.36 on March 3, 2016.
5 Represents the conversion of shares, awarded in years prior to the merger, into restricted shares (conversion before applying the performance adjustment) and performance shares.
The outstanding awards remaining from past grants have been split into two parts as explained in the section Treatment of outstanding performance shares. The incremental fair value
for the 2012 grant is €1.39 for all other employees, for the 2014 performance TSR grant the incremental fair value is €0.25 for VP and up, and €2.26 for all other employees. For all other
converted grants, there is no incremental fair value.
6 The 2014 grant includes the special purpose plan as described above. Under this program, 21,000 shares were granted in 2014, of which 7,000 vested in 2014, 7,000 vested in 2015,
3,000 were cancelled in 2015 and 4,000 vested in 2016.
7 The 2015 grant includes the special purpose plan as described above. Under this program, 61,200 shares were granted in 2015, of which 20,400 vested in 2015 and 24,400 vested in 2016.
At the end of 2016, 16,400 shares under this program were outstanding and will vest in 2017.
Outstanding
at the beginning
of 2016
