STOCK-BASED COMPENSATION (Tables)

12 Months Ended

Dec. 31, 2012

STOCK-BASED COMPENSATION

Stock option activity

	2012			2011			2010
	Number of Stock Options		Weighted Average Exercise Price	Number of Stock Options		Weighted Average Exercise Price	Number of Stock Options		Weighted Average Exercise Price
Outstanding, beginning of year	8,959,051		C$62.88	6,762,704		C$56.94	5,707,940		C$53.85
Granted	3,257,000		36.99	2,630,785		76.12	2,926,080		57.55
Exercised	(416,275	)	43.51	(308,688	)	43.62	(1,627,766	)	47.02
Forfeited	(731,000	)	59.72	(125,750	)	67.47	(243,550	)	58.03
Expired	(481,650	)	47.49	–		–	–		–
Outstanding, end of year	10,587,126		C$56.60	8,959,051		C$62.88	6,762,704		C$56.94
Options exercisable at end of year	6,510,464			5,178,172			2,972,857

Activity of nonvested stock options

	2012
	Number of Stock Options			Weighted Average Grant Date Fair Value
Nonvested, beginning of year	3,780,879		C$	17.79
Granted	3,257,000			8.29
Vested	(2,625,467	)		15.63
Forfeited (nonvested)	(335,750	)		12.50
Nonvested, end of year	4,076,662		C$	13.33

Options outstanding and exercisable by exercise price ranges

• The following table summarizes information about Agnico-Eagle's stock options outstanding and exercisable at December 31, 2012:

	Stock Options Outstanding			Stock Options Exercisable
Range of Exercise Prices	Number Outstanding	Weighted Average Remaining Contractual Life	Weighted Average Exercise Price	Number Exercisable	Weighted Average Exercise Price
C$33.26 – C$59.71	6,378,941	2.50 years	C$47.45	3,485,921	C$52.68
C$60.72 – C$83.08	4,208,185	2.14 years	70.46	3,024,543	68.18
C$33.26 – C$83.08	10,587,126	2.36 years	C$56.60	6,510,464	C$59.88

Schedule of weighted average assumptions under the Black-Scholes option pricing model

	2012	2011	2010
Risk-free interest rate	1.26%	1.95%	1.86%
Expected life of stock options (in years)	2.8	2.5	2.5
Expected volatility of Agnico-Eagle's share price	37.5%	34.70%	43.80%
Expected dividend yield	2.14%	0.89%	0.42%