8th May 2006 07:02
Lancashire Holdings Limited08 May 2006 LANCASHIRE HOLDINGS LIMITED GRANT OF OPTIONS AND WARRANTS TO DIRECTORS HAMILTON, Bermuda (8th May 2006) - Lancashire Holdings Limited (the "Company")today announces the granting of options over its common shares as of 9 March2006 to the executive Directors of the Company as follows: Name of executive Number of share Total number of share options held Director options granted following this notification Richard Brindle 762,522 762,522Neil McConachie 508,348 508,348 The options were granted pursuant to the Company's Long Term Incentive Plan (the"Plan") under which the Company may grant from time to time up to 5% of theCompany's fully diluted common share capital, as described in the Company's AIMAdmission Document. Additional options within this maximum 5% were granted onsuch date, and may in future be granted, to other employees of the Company onidentical terms. As set out in the Plan, the options will vest as to 25% on the firstanniversary, 50% on the second anniversary, 75% on the third anniversary and100% on the fourth anniversary of the date of grant. The options may not beexercised later than the tenth anniversary of the date of grant although theymay lapse earlier in other circumstances. The purchase price of the common shares underlying these options is 325.325pence (GBP), which is the average of the market prices of the 20 trading daysimmediately prior to the date of grant. The Company also granted Management Team Ordinary Warrants and Management TeamPerformance Warrants over the Company's common shares on 9 March 2006 to thefollowing executive Director: Name of executive Number of Management Team Total number of Ordinary Warrants Director Ordinary Warrants granted following this notification Neil McConachie 635,434 1,270,869 Name of executive Number of Management Team Total number of Performance Warrants Director Performance Warrants granted following this notification Neil 381,261 762,522 McConachie Additional warrants of both types were granted on such date, and may in futurebe granted, to other employees of the Company on identical terms. These grantsof Management Team Ordinary Warrants are within the maximum 5% of the Company'sfully diluted common share capital as described in the Company's AIM AdmissionDocument. These grants of Management Team Performance Warrants are within themaximum 3% of the Company's fully diluted common share capital as described inthe Company's AIM Admission Document. The Management Team Ordinary Warrants will vest as to 25% of the underlyingshares on receipt of the warrant, 25% on 16 December 2006, 25% on 16 December2007 and 25% on 16 December 2008. The Management Team Performance Warrants will vest if certain criteria relatingto the book value performance or compound return performance of the Company aremet. In the event the applicable performance criteria are not reached by theCompany at the applicable measurement date, the common shares underlying thewarrants that have not vested will lapse. The purchase price of the common shares underlying both types of warrants isUS$5.00. Further details of the terms and conditions of the options and warrants areavailable in the AIM Admission Document. About Lancashire Lancashire Holdings Limited, through its operating subsidiary, LancashireInsurance Company Limited, is a Bermuda-based provider of reinsurance andinsurance and is listed on the Alternative Investment Market of the London StockExchange under the ticker symbol LRE. Contacts: Neil McConachie Chief Financial Officer +1 441 278 8950 Financial Dynamics Robert Bailhache +44 20 7269 7200 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Lancashire Holdings