Econocom - 2020 annual report

06 consolidated financial statements

notes to the consolidated financial statements

Changes in equity not recognised in profit or loss 15.3.

ECONOCOM GROUP SHARE-BASED PAYMENTS 15.3.1. The Group regularly awards stock purchase and subscription options, as well as free shares, to Management, certain corporate officers and select employees. These transactions are recognised at fair value at the grant date using the Black-Scholes- Merton mathematicaloptionpricingmodel.

vesting period. An offsetting entry is recorded to equity. Subsequent changes in the fair value of the options do not impact the initial measurement. At the end of each reporting period, the Group revises the assumptions used to calculate the number of equity instruments. The impact of this revised estimate, if any, is taken to profit or loss and the expenses accrued adjusted accordingly. The offsetting entry is recorded in equity. granted is expensed over the vesting period. When the options are exercised, equity is increased bythe proceeds received. The characteristics of these plans are detailed below. It should be noted that the number of options granted remains unchanged but that owing to the share split, the number of rights attached to each option has doubled.

Fair value, corresponding to the estimated cost of the services provided by the beneficiaries, is recognised on a straight- line basis in “Personnel costs” over the

Stock subscription 15.3.1.1. and purchase option plans

Stock subscription and purchase option plans have been granted to some of the Group’s employeesand corporateofficers for an agreed unit price. Stock subscriptionand purchase option plans are equity-settled share-based payment transactions. In accordance with the number of options expected to vest, the fair value of the options

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2020 annual report