The Annual General Meeting on 3 May 2011 decided to implement an incentive program for employees of the Company by issuing up to 1,168,856 warrants, each entitling the holder to subscribe for one Class B share of IAR Systems Group.
The subscription price shall be 150 percent of the average share price during the period from 7 June 2011 to and including 17 June 2011. If all 1,168,856 warrants are exercised for subscription of shares the company's share capital will increase to be 11 688 560 SEK.
The warrants must be exercised within three years from the date of the decision of the subscription price. Subscription shall take place no later than 31 August 2011. Warrants are issued free of charge.
The subscription of warrants shall be made by, with deviation from the shareholders preferential rights, the wholly owned subsidiary IAR Systems AB, which will offer warrants to current and future employees of the Company. Transfer of warrants shall be made at market prices (option premium).
The allocation of options to employees of the Group shall be determined by the Board with the following guidelines:
Of the total number of warrants, 1 014 000 million has been subscribed representing 91%. Of the subscribed warrants, 460,000 were subscribed by the Group management.
The subscription price for the warrants was fixed at SEK 34:30 and the transfer price per warrant has been fixed at SEK 1:22. The subsidiary IAR Systems AB holds the remaining 154,856 warrants which can, as directed by the Board, be offered to current and future employees to acquire at market rates in accordance with the AGMs decision.