8. Summary of share and option plans 2019
This section has been audited by the external auditor as part of the Financial Notes to the Consolidated Statements of the Geberit Group.
In 2019, employees, management and the members of the Board of Directors participated in three different share plans. The plans are described for the management and the Board of Directors in this Remuneration Report and for the employees in Note 17 of the consolidated financial statements (participation plans). Under the three different share plans, a total of the following numbers of shares were allocated.
| End of blocking period |
Number of participants |
Number of shares issued |
Issuing price CHF |
|
| Employee share purchase plan (ESPP) | 2021 | 2,424 | 18,903 | 264.40 |
| Management share purchase plan (MSPP) | 2022 | 99 | 10,278 | 406.75 |
| Board of Directors compensation | 2023 | 6 | 3,398 | 406.75 |
| Total | 32,579 |
The 32,579 shares required for these plans were taken from the stock of treasury shares.
In 2019, Geberit management participated in two different option plans (MSPP and MSOP). The plans are described in this Remuneration Report. Under these plans, the following numbers of options are expected to be allocated with final effect at the end of the vesting period*.
| End of vesting period |
Maturity | Number of participants |
Number of options expected to be allocated |
Exercise price CHF |
|
| Management share purchase plan (MSPP) | 2019–2022 | 2028 | 99 | 10,278 | 406.75 |
| Option plan (MSOP) | 2019–2022 | 2028 | 92 | 114,435 | 406.75 |
| Total | 124,713 |
The fair value of the options granted in 2019 amounted to CHF 39.39 (MSPP) and CHF 39.39 (MSOP) on average at the respective grant date. The fair value was determined using the binomial model for “American Style Call Options”.
The calculation model was based on the following parameters:
| Exercise price1 |
Expected Ø volatility |
Expected Ø dividend yield |
Contractual period |
Risk-free Ø interest rate |
|
| CHF | % | % | Years | % | |
| Management share purchase plan (MSPP) | 406.75 | 16.51 | 2.55 | 9 | -0.27 |
| Option plan (MSOP) | 406.75 | 16.51 | 2.55 | 9 | -0.27 |
| 1 The exercise price corresponds to the average price of Geberit shares for the period from 5. – 18.3.2019. | |||||
Costs resulting from share participation plans amounted to CHF 2.9 million in 2019 (previous year CHF 3.0 million); those for option plans totalled CHF 4.7 million (previous year CHF 3.8 million).
* The number of options expected to be allocated with final effect at the end of the vesting period depends on target achievement (average ROIC) and has been calculated on the basis of expected target achievement. |
