SGI.L Regulatory News (SGI)

25 Sep 2008 15:22



The Stanley Gibbons Group Limited

25 September 2008

The Stanley Gibbons Group Limited

('Stanley Gibbons' or 'the Company')

Long Term Incentive Plan (LTIP) Awards

The Company announces that on 19 September 2008 the following awards were made to Executive Directors under the Company's 2007 Long-Term Incentive Plan (LTIP). 

Michael Hall - Chief Executive 105,500

Mark Henley - Finance Director 46,500

Richard Purkis - Operations Director 46,500

The Options were granted for nil consideration. The Option granted to Michael Hall is exercisable at a price of £1.61 being the closing mid market price on the preceding business day, 18 September 2008. The Options granted to Mark Henley and Richard Purkis are exercisable at par value.

The Options will vest on 19 September 2011, subject to the satisfaction of the following performance conditions:

50% of an award: EPS

Performance Period

Vesting of this part of the award will be determined by the Company's adjusted EPS growth over three complete financial years (i.e. adjusted to allow for the impact of amortisation and non-recurring items). The base year for calculating growth from will be the financial year ending 31 December 2007.

Targets

From the base year, three-year earnings growth will need to be delivered as follows for vesting to take place:

Less than 35% above RPI: no vesting;

35% above RPI: 12.5% of the initial award (25% of the part of the award subject to EPS performance) vests;

75% above RPI: 50% of the initial award (100% of the part of the award subject to EPS performance) vests; and

Straight line vesting takes place between performance points.

50% of an award: TSR

Peer Group

Vesting of this part of the award will be determined by Company's TSR performance relative to the constituents of the FTSE Small Cap excluding investment trusts (the "comparator group"). 

Performance Period

The TSR performance period and comparator group will be set from the date of award for three years.

Targets

Vesting will take place as follows based on the Company's relative TSR performance against the comparator group:

Below median: no vesting;

median: 12.5% of the initial award (25% of the part of the award subject to TSR performance) vests;

Upper quartile: 50% of the initial award (100% of the part of the award subject to TSR performance) vests; and

Straight line vesting takes place between performance points.

To mitigate the impact of short-term movements in share price on the relative TSR condition, there will be a three month averaging of the base and end total return index values for each company.

For further information, contact:

The Stanley Gibbons Group Limited

Michael Hall, Chief Executive 01481 708270

Richard Purkis, Company Secretary 020 7836 8444

Seymour Pierce Limited

Jonathan Wright 020 7107 8000