2.2.0.7falseLong Term Retention Plan0209 - Disclosure - Long Term Retention Plantruefalsefalsefalse1USDfalsefalseUSDStandardhttp://www.xbrl.org/2003/iso4217USDiso42170USDEPSDividehttp://www.xbrl.org/2003/iso4217USDiso4217http://www.xbrl.org/2003/instancesharesxbrli0SharesStandardhttp://www.xbrl.org/2003/instancesharesxbrli0$20meli_LongTermRetentionPlanAbstractmelifalsenadurationLong Term Retention Plan.falsefalsefalsefalsefalsetruefalsefalsefalsefalsefalsefalse1falsefalsefalsefalse00falsefalsefalsexbrli:stringItemTypestringLong Term Retention Plan.false31meli_LongTermRetentionPlanTextBlockmelifalsenadurationLong Term Retention Plan.falsefalsefalsefalsefalsefalsefalsefalsefalsefalsefalseverboselabelfalse1falsefalsefalsefalse00<!--DOCTYPE html PUBLIC "-//W3C//DTD XHTML 1.0 Transitional//EN" "http://www.w3.org/TR/xhtml1/DTD/xhtml1-transitional.dtd" -->
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<div style="font-family: 'Times New Roman',Times,serif; margin-left: 0in; ">
<div style="margin-top: 10pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="3%" nowrap="nowrap" align="left"><b>9.</b></td>
<td width="1%"> </td>
<td>
<div style="text-align: justify"><b>Long Term Retention Plan</b>
</div></td>
</tr>
</table>
</div>
<div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 4%">On August 8, 2008, the Board of Directors approved an employee retention program that will be
payable 50% in cash and 50% in shares, in addition to the annual salary and bonus of certain
executives. Payments will be made in the first quarter on annual basis according to the
following vesting schedule:
</div>
<div style="margin-top: 10pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="8%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>
<div style="text-align: justify">Year 1 (2008): 17%
</div></td>
</tr>
<tr style="font-size: 8pt">
<td> </td>
</tr> <tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="8%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>
<div style="text-align: justify">Year 2 (2009): 22%
</div></td>
</tr>
<tr style="font-size: 8pt">
<td> </td>
</tr> <tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="8%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>
<div style="text-align: justify">Year 3 (2010): 27%
</div></td>
</tr>
<tr style="font-size: 8pt">
<td> </td>
</tr> <tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="8%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>
<div style="text-align: justify">Year 4 (2011): 34%
</div></td>
</tr>
</table>
</div>
<div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 4%">In March 2009, the abovementioned 17% related to Year 1 was paid. In April 2010, the Company
paid the 22% related to the Year 2.
</div>
<div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 4%">In addition, the 2008 Long Term Retention Plan (the “2008 LTRP”) has a performance condition
which has been achieved at the date of these financial statements and also requires the
employee to stay in the Company at the payment date. The compensation cost is recognized in
accordance with the graded-vesting attribution method and is accrued up to each payment date.
</div>
<div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 4%">The total compensation cost of the 2008 LTRP amounts to approximately $1.6 million including
cash and shares. The 21,591 shares granted were valued at the grant-date fair market value of
$36.8 per share. For the three-month period ended June 30, 2010, the related accrued
compensation expense was $54,109 corresponding $29,636 to the share portion of
the award credited to Additional Paid-in Capital and $24,473 to the cash portion included in
the Balance Sheet as Social security payable.
</div>
<div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 4%">For the six-month period ended June 30, 2010, the related accrued compensation expenses was
$135,620 corresponding $64,012 to the share portion of the award credited to Additional Paid-in
Capital and $71,608 to the cash portion included in the Balance Sheet as Social security
payable.
</div>
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<div align="justify" style="font-size: 10pt; margin-top: 0pt">
<b>
</b>
<b>
</b>
</div>
<div style="margin-top: 0pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="3%" nowrap="nowrap" align="left">
<b>
</b>
</td>
<td width="1%"></td>
<td>
<div style="text-align: justify">
<b>
</b>
</div>
</td>
</tr>
</table>
</div>
<div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 4%">For the three-month period ended June 30, 2009, the related accrued compensation expense was
$120,011 corresponding $45,974 to the share portion of the award credited to Additional Paid-in
Capital and $74,037 to the cash portion included in the Balance Sheet as Social security
payable.
</div>
<div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 4%">For the six-month period ended June 30, 2009, the related accrued compensation expense was
$201,402 corresponding $80,694 to the share portion of the award credited to Additional Paid-in
Capital and $120,708 to the cash portion included in the Balance Sheet as Social security
payable.
</div>
<div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 4%">The following table summarizes the number of shares for each of the following groups:
</div>
<div align="right">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="96%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="66%"> </td>
<td width="3%"> </td>
<td width="1%"> </td>
<td width="9%"> </td>
<td width="1%"> </td>
<td width="3%"> </td>
<td width="1%"> </td>
<td width="9%"> </td>
<td width="1%"> </td>
</tr>
<tr style="font-size: 10pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>June 30,</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>December 31,</b></td>
<td> </td>
</tr>
<tr style="font-size: 10pt" valign="bottom">
<td nowrap="nowrap" align="left" style="border-bottom: 1px solid #000000"><b>Number of Shares</b></td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>2010</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>2009</b></td>
<td> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom"><!-- Blank Space -->
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff; padding-top: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px">Granted
</div></td>
<td> </td>
<td> </td>
<td align="right">21,591</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">21,591</td>
<td> </td>
</tr>
<tr valign="bottom" style="padding-top: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px">Non-vested at the beginning of the period / year
</div></td>
<td> </td>
<td> </td>
<td align="right">15,015</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">21,591</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff; padding-top: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px">Non-vested at the end of the period / year
</div></td>
<td> </td>
<td> </td>
<td align="right">10,599</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">15,015</td>
<td> </td>
</tr>
<tr valign="bottom" style="padding-top: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px">Forfeited
</div></td>
<td> </td>
<td> </td>
<td align="right">3,411</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">2,976</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff; padding-top: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px">Vested and paid to the employees
</div></td>
<td> </td>
<td> </td>
<td align="right">7,581</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">3,600</td>
<td> </td>
</tr>
<tr valign="bottom" style="padding-top: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px">Outstanding
</div></td>
<td> </td>
<td> </td>
<td align="right">10,599</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">15,015</td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 4%">The following table details the aggregate intrinsic value and weight-average remaining
contractual life of the shares at June 30, 2010:
</div>
<div align="right">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="96%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="66%"> </td>
<td width="3%"> </td>
<td width="1%"> </td>
<td width="9%"> </td>
<td width="1%"> </td>
<td width="3%"> </td>
<td width="1%"> </td>
<td width="9%"> </td>
<td width="1%"> </td>
</tr>
<tr style="font-size: 10pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="6" style="border-bottom: 1px solid #000000"><b>June 30, 2010</b></td>
<td> </td>
</tr>
<tr style="font-size: 10pt" valign="bottom">
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Weighted-average</b></td>
<td> </td>
</tr>
<tr style="font-size: 10pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Aggregate</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>remaining</b></td>
<td> </td>
</tr>
<tr style="font-size: 10pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Intrinsic</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>contractual</b></td>
<td> </td>
</tr>
<tr style="font-size: 10pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>value</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>life (years)</b></td>
<td> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom"><!-- Blank Space -->
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff; padding-top: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px">Shares outstanding
</div></td>
<td> </td>
<td> </td>
<td align="right">556,984</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">1.31</td>
<td> </td>
</tr>
<tr valign="bottom" style="padding-top: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px">Shares paid
</div></td>
<td> </td>
<td> </td>
<td align="right">191,920</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 4%">The aggregate intrinsic value of the shares paid on March 13, 2009 and March 31, 2010 under the
2008 LTRP amounts to $61,740 and $191,920 respectively, at each date.
</div>
<div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 4%">On June 10, 2009, the Compensation Committee of the Board of Directors approved the 2009
employee retention program (“the 2009 LTRP”). The award under the 2009 LTRP will be fully
payable in cash in addition to the annual salary and bonus of each employee.
</div>
<!-- Folio -->
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</div>
<!-- PAGEBREAK -->
<div style="font-family: 'Times New Roman',Times,serif; margin-left: 0in; ">
<div align="justify" style="font-size: 10pt; margin-top: 0pt">
<b>
</b>
<b>
</b>
</div>
<div style="margin-top: 0pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="3%" nowrap="nowrap" align="left">
<b>
</b>
</td>
<td width="1%"></td>
<td>
<div style="text-align: justify">
<b>
</b>
</div>
</td>
</tr>
</table>
</div>
<div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 4%">The 2009 LTRP will be paid in 8 equal annual quotas (12.5% each) commencing on March 31, 2010.
Each quota will be calculated as follows:
</div>
<div style="margin-top: 10pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="8%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>
<div style="text-align: justify">6.25% of the amount will be calculated in nominal terms (“the nominal basis share”),
</div></td>
</tr>
<tr style="font-size: 8pt">
<td> </td>
</tr> <tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="8%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>
<div style="text-align: justify">6.25% will be adjusted by multiplying the nominal amount by the average closing stock
price for the last 60 trading days of the year previous to the payment date and divided
by the average closing stock price for the last 60 trading days of 2008 which is $13.81
(“the variable share”).
</div></td>
</tr>
</table>
</div>
<div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 4%">As of June 10, 2009, the grant date, the total compensation cost of the 2009 LTRP amounts to
approximately $3.5 million including the nominal and variable basis cost and the average
grant-date fair market value was $22.1 per share.
</div>
<div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 4%">In addition, the 2009 LTRP has performance conditions to be achieved at December 31, 2009 and
also requires the employee to stay in the Company at the payment date. The compensation cost
related to the nominal basis share is recognized in straight line basis using the equal annual
accrual method. The compensation cost related to the variable share is recognized in accordance
with the graded-vesting attribution method and is accrued up to each payment date.
</div>
<div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 4%">On July 15, 2009, the Board of Directors, upon the recommendation of the compensation committee
of the Board, adopted the 2009 Long Term Retention Plan (the “2009 LTRP”) in the form as
described above.
</div>
<div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 4%">As of June 30, 2010, the total compensation cost of the 2009 LTRP amounts to approximately $6.1
million and the related accrued compensation expense for the three- and six-month period ended
June 30, 2010 was $449,350 and $709,040, respectively.
</div>
<div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 4%">The following table details the aggregate intrinsic value and weight-average remaining
contractual life of the shares at June 30, 2010:
</div>
<div align="right">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="96%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="66%"> </td>
<td width="3%"> </td>
<td width="1%"> </td>
<td width="9%"> </td>
<td width="1%"> </td>
<td width="3%"> </td>
<td width="1%"> </td>
<td width="9%"> </td>
<td width="1%"> </td>
</tr>
<tr style="font-size: 10pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="6" style="border-bottom: 1px solid #000000"><b>June 30, 2010</b></td>
<td> </td>
</tr>
<tr style="font-size: 10pt" valign="bottom">
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Weighted-average</b></td>
<td> </td>
</tr>
<tr style="font-size: 10pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Aggregate</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>remaining</b></td>
<td> </td>
</tr>
<tr style="font-size: 10pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Intrinsic</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>contractual</b></td>
<td> </td>
</tr>
<tr style="font-size: 10pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>value</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>life (years)</b></td>
<td> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom"><!-- Blank Space -->
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff; padding-top: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px">Outstanding
</div></td>
<td> </td>
<td> </td>
<td align="right">4,202,306</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">3.75</td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 4%">On June 25, 2010, the Board of Directors, upon the recommendation of the compensation committee
of the Board, adopted the 2010 Long Term Retention Plan (the “2010 LTRP”) in the form as
described above. The award under the 2010 LTRP will be fully payable in cash in addition to the
annual salary and bonus of each employee.
</div>
<!-- Folio -->
<!-- /Folio -->
</div>
<!-- PAGEBREAK -->
<div style="font-family: 'Times New Roman',Times,serif; margin-left: 0in; ">
<div align="justify" style="font-size: 10pt; margin-top: 0pt">
<b>
</b>
<b>
</b>
</div>
<div style="margin-top: 0pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="3%" nowrap="nowrap" align="left">
<b>
</b>
</td>
<td width="1%"></td>
<td>
<div style="text-align: justify">
<b>
</b>
</div>
</td>
</tr>
</table>
</div>
<div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 4%">In order to receive an award under the 2010 LTRP, the executive must satisfy the Minimum
Eligibility Conditions applicable to determine eligibility for annual cash bonuses. If these
Minimum Eligibility Conditions are satisfied, the executive will, subject to his continued
employment as of each applicable payment date, receive the target amount of his 2010 LTRP
bonus.
</div>
<div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 4%">The 2010 LTRP will be paid in 8 equal annual quotas (12.5% each) commencing on March 31, 2011.
Each quota will be calculated as follows:
</div>
<div style="margin-top: 10pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="8%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>
<div style="text-align: justify">6.25% of the amount will be calculated in nominal terms (“the nominal basis
share”),
</div></td>
</tr>
</table>
</div>
<div style="margin-top: 10pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="8%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>
<div style="text-align: justify">6.25% will be adjusted by multiplying the nominal amount by the average closing
stock price for the last 60 trading days of the year previous to the payment date and
divided by the average closing stock price for the last 60 trading days of 2009 which
is $45.75 (“the variable share”).
</div></td>
</tr>
</table>
</div>
<div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 4%">As of June 25, 2010, the grant date, the total compensation cost of the 2010 LTRP amounts to
approximately $6.1 million including the nominal and variable basis cost and the average
grant-date fair market value was $52.10 per share.
</div>
<div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 4%">In addition, the 2010 LTRP has performance conditions to be achieved at December 31, 2010 and
also requires the employee to stay in the Company at the payment date. The compensation cost
related to the nominal basis share is recognized in straight line basis using the equal annual
accrual method. The compensation cost related to the variable share is recognized in accordance
with the graded-vesting attribution method and is accrued up to each payment date.
</div>
<div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 4%">As of June 30, 2010, the total compensation cost of the 2010 LTRP amounts to approximately $6.1
million and the related accrued compensation expense for the six-month period ended June 30,
2010 was $659,991.
</div>
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</div>
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<div style="font-family: 'Times New Roman',Times,serif; margin-left: 0in; ">
<div align="justify" style="font-size: 10pt; margin-top: 0pt">
<b>
</b>
<b>
</b>
</div>
<div style="margin-top: 0pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="3%" nowrap="nowrap" align="left">
<b>
</b>
</td>
<td width="1%"></td>
<td>
<div style="text-align: justify">
<b>
</b>
</div>
</td>
</tr>
</table>
</div>
<div align="justify" style="font-size: 10pt; margin-top: 10pt; margin-left: 4%">The following table details the aggregate intrinsic value and weight-average remaining
contractual life of the shares at June 30, 2010:
</div>
<div align="right">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="96%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="66%"> </td>
<td width="3%"> </td>
<td width="1%"> </td>
<td width="9%"> </td>
<td width="1%"> </td>
<td width="3%"> </td>
<td width="1%"> </td>
<td width="9%"> </td>
<td width="1%"> </td>
</tr>
<tr style="font-size: 10pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="6" style="border-bottom: 1px solid #000000"><b>June 30, 2010</b></td>
<td> </td>
</tr>
<tr style="font-size: 10pt" valign="bottom">
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Weighted-average</b></td>
<td> </td>
</tr>
<tr style="font-size: 10pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Aggregate</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>remaining</b></td>
<td> </td>
</tr>
<tr style="font-size: 10pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Intrinsic</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>contractual</b></td>
<td> </td>
</tr>
<tr style="font-size: 10pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>value</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>life (years)</b></td>
<td> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom"><!-- Blank Space -->
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff; padding-top: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px">Outstanding
</div></td>
<td> </td>
<td> </td>
<td align="right">3,254,564</td>
<td> </td>
<td> </td>
<td> </td>
<td align="right">4.25</td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
</div>
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