Please activate JavaScript!
Please install Adobe Flash Player, click here for download

Software AG GB 2012, englisch

SOFTWARE AG | ANNUAL REPORT 2012 228 In connection with the termination of David Broadbent’s Management Board membership, Mr. Broadbent filed suit with the Regional Court of Darmstadt, which the Company considers to be unfounded. After an extensive exchange of briefs, evidence was taken in May and September. The court ruled against the Company’s arguments and found in favor of Mr. Broadbent on December 21, 2012. Software AG filed an appeal against the ruling. There were no other changes with respect to the legal disputes reported at the end of 2011, nor were there any new legal disputes that could potentially have a significant effect on the Company’s financial position, cash flows or profit or loss. [34] Stock option plans Software AG has various stock option plans for members of the Management Board, managers and other Group employees. These involve equity-settled plans and plans where the Company has the choice of set- tling either in cash or by providing equity instruments. The total expense for share-based payment transactions amounted to €7,871 thousand in fiscal 2012 (2011: €1,491 thousand). There was a one-time effect in 2011 from hedging the commitments from the Manage- ment Incentive Plan 2007 that decreased the total expense in 2011 by €7,121 thousand. Expenses for stock options accounted for as equity-settled plans pursuant to IFRS 2 amounted to €4,389 thou- sand in fiscal 2012 (2011: €5,857 thousand). No expenses for share-based payment transactions were capitalized as inventories or non-current assets. Management Incentive Plan 2011 (MIP IV) (2011–2016) A share-performance-based Management Incentive Plan (MIP IV) for members of the Management Board and upper management was developed in 2011. The program offers stock options (hereinafter referred to as “rights”), but the Company reserves the right to service these rights in cash or shares. The plan was officially approved by the Annual Shareholders’ Meeting in May 2012. The first allocation tranche is based on the following parameters: Base price €41.34 Earliest exercise date May 4, 2016 Term of rights 10 years