The Board of Directors of Orkla ASA has decided to replace substantial parts of the bonus programme with an option programme, under which, in future, the manager will be entitled to buy a number of Orkla shares at a specified exercise price. When the option is exercised, Orkla alternatively has the right to redeem options by paying a cash amount equivalent to the difference between the exercise price and the closing price of the share on the day the option is exercised.

 

As a result of this, on 13 November 2003, the following 1,777,000 options were allotted:

 

 

 

Cash bonuses linked to a corresponding number of underlying shares were discontinued on the same date. The first exercise date and the final expiry date for the options that have been allotted are the same as for the discontinued cash bonus programmes.

 

Orkla owns 7,921,283 Orkla shares. Orkla has also issued a total of 1,777,000 options. Moreover, Orkla has an exposure through a cash-settled financial derivative of 450,000 underlying shares in the hedge position related to the remaining part of the cash bonus programme.