Investor News

The Board of Directors of Marel hf. has today resolved to grant several of Marel’s employees stock option agreements in accordance with the Company's remuneration policy accepted at its Annual General Meeting on 3rd March 2010.  The total number of shares granted pursuant to this resolution is 18,200,000. The stock option agreements' purpose is to align the interests of the employees and the Company in the long run. Part of the stock option agreements are with Marel hf.'s Board of Management, i.e. Theo Hoen, CEO, Erik Kaman, CFO, and Sigsteinn Grétarsson, Managing Director of Marel Iceland ehf., and entitle them purchase of shares as per below (including total number of shares owned by these respective parties and their financially related parties):

Theo Hoen       
New stock options: 350,000
Older granted and unexercised options: 2,000,000
Shareholding in own name:  1,500,000
Shareholding of financially related parties: 0

Erik Kaman       
New stock options: 350,000
Older granted and unexercised options: 1,500,000
Shareholding in own name:  1,675,000
Shareholding of financially related parties: 0

Sigsteinn Grétarsson
New stock options: 350,000
Older granted and unexercised options: 1,000,000
Shareholding in own name:  25,997
Shareholding of financially related parties:  0

The stock option agreements entitle purchase of shares at the offering price of EUR 0.525 per share which is determined by the closing rate of Marel shares at NASDAQ OMX Iceland hf. on 10th May 2010, i.e. ISK 86.30 per share, calculated with the Central Bank of Iceland mid rate EUR/ISK; 164.38.  The agreements have a term of five years, they become effective from today, 10th May 2010, and expire 9th May 2015. The options are allotted in three layers, so that the first 50% are exercisable after 1st May 2012, the second 25% after 1st May 2013, and the remaining 25% exercisable after 1st May 2014. The exercise price of the options rises per layer by adding 4% to the offering price in the previous layer, first time 1st May 2012.

If an employee does not fully exercise the option to purchase shares in Marel during a specific exercise period the unexercised option automatically transfers to the next exercise period. If an employee has not fully exercised the options at the end of the term of the Stock Option Agreement, all allotted but unexercised options are cancelled. 

No put options or financing are related to the stock option agreements. The options are valid only if the holder is still employed by Marel group (Marel hf. or wholly owned subsidiaries of Marel hf.) at the time of exercise.

Total number of shares granted by Marel hf. in stock option agreements currently amount to 43.815.000 shares.