Carnegie Investment Bank, Finland Branch (tel. +358 9 618 71 310) will provide subscription services. The shares acquired shall first qualify for dividend payment for the financial year during which the subscription has taken place. Other rights related to the shares shall commence on the date when the increase in the share capital is entered in the Trade Register.
The purpose of the stock options is to encourage long-term efforts by key personnel to increase shareholder value and their commitment to the company by offering them an internationally competitive incentive program. The company’s Board Members, President and CEO and members of the Executive Board are not included in the stock option programs.
Stock options 2007 were granted according to the decision of the Board of Directors’ meeting on December 5, 2007 to approximately 350 key employees and the decision was based on the authorization received from the Shareholders’ Meeting on February 26, 2007. A maximum total of 2,000,000 options can be granted. The original share subscription price for the option was 25.445 euros per share and it is further reduced in situations mentioned in the terms, for example with dividends distributed before the subscription of the shares. Therefore the effective subscription price as per March 1, 2011 was EUR 21.945. Each option entitles its holder to subscribe for two (2) class B KONE share. The share subscription period for the stock options 2007 is April 1, 2010–April 30, 2012. The share subscription period started April 1, 2010, as the average turnover growth of the KONE Group for the financial years 2008 and 2009 exceeded market growth and as the earnings before interest and taxes (EBIT) of the KONE Group for the financial year 2008 exceeded the EBIT for the financial year 2007, and the EBIT for the financial year 2009 exceeded the EBIT for the financial year 2008 as required in the terms of the stock options.
Stock options 2010 were granted according to the decision of the Board of Directors on July 20, 2010 to approximately 430 key employees and the decision was based on the authorization received from the Shareholders’ Meeting on March 1, 2010. A maximum total of 3,000,000 options can be granted. The original share subscription price for the option is 35.00 euros per share and it is further reduced in situations mentioned in the terms, for example with dividends distributed before the subscription of the shares. Therefore the effective subscription price as per March 1, 2011 was EUR 34.10. Each option entitles its holder to subscribe for one (1) new or an existing company´s own class B KONE share. The share subscription period for the stock options 2010 will be April 1, 2013–April 30, 2015. The share subscription period begins only if the financial performance of the KONE Group for the financial years 2010–2012 based on the total consideration of the Board of Directors is equal to or better than the average performance of key competitors of KONE. If the above-mentioned prerequisite does not fulfill, stock options expire based on the consideration and in the extent and manner decided by the Board of Directors and the terms of the stock options.