Option Premium. The amount of the option premium or the rate of an option or the option price comprises the so-called intrinsic value of the option and the so-called fair value. The intrinsic value of an option is the difference between the current rate of the option item and the strike price of the option. Thus, for example, a call option on the DAX at a strike price of 4,000--with the DAX at 4,300--has an intrinsic value of 300 index points. A put option on the DAX at a strike price of 4,500--with the same DAX--has an intrinsic value of 200 index points (4,500-4,300). Hence, the larger the difference between the current rate and the strike price, the higher the intrinsic value and thus the more expensive the option. In addition to the intrinsic value, the option has a so-called fair value. The fair value is determined based on the difference between the actual rate of the option and the intrinsic value. For example, if the DAX is at 4,300 and a call option with a strike price of 4,000 is agreed upon and if the price of the option is at 450, the price of 450 exceeds the intrinsic value of the option, which is 300 points, by 150 points. In that scenario, the option has a fair value of 150 points. The fair value of an option depends primarily on three factors. An option with a residual maturity of several months, e.g., six months, must have a higher fair value than an option with a residual maturity of only one months since, in the first case scenario the option may be exercised five months longer than in the second case scenario. Volatility reflects the frequency and degree of price fluctuations. For example, if the item on which the option is based experiences a fluctuation of 20% or if a fluctuation of such extent is expected in the future, this option will have a higher fair value than the option on a stock which has an annual fluctuation of, for example, 5% or for which such a fluctuation is expected; this is due to the fact that the higher fluctuation range results in the option buyer having a higher chance of an increase in value of the option during the residual maturity. In the money: The option is “in the money” if the price of the underlying asset exceeds the strike price in a call option or is below the strike price in a put option. This scenario is also referred to as “in the money” option. At the money: An option is an “at the money” option if the option's strike price is identical to the price of the underlying asset. Out of the money: In this scenario, the ...
Option Premium. In consideration of the Owners granting the Call Option, the Option Holder shall pay to the Owners upon delivery of the Vessel by the Option Holder to the Owners under the MoA a non-refundable non-interest bearing unsecured option premium (the "Option Premium") in the amount of United States Dollars nine million five hundred thousand (USD 9,500,000.00). The amount of the Option Premium will be settled through netting off from the purchase price of the Vessel under clause 21 of the MOA. To the extent that the Fair Market Value is less than USD 35,000,000, the Option Premium shall be increased by 81% of the difference between USD 35,000,000 and the Fair Market Value.
Option Premium. In consideration of the grant by the Stockholders to the Company of the Option, the Company shall simultaneously with the payment of the first Funding Payment under the Funding and Royalty Agreement pay to the Stockholders Two Million Dollars ($2,000,000) (the “Option Premium”) by wire transfer of immediately available funds to the account listed in Exhibit 2 hereto. Such amount shall be allocated between the Stockholders as provided in Exhibit 2 hereto. If the Option is exercised by the Company, upon closing of the sale of the Shares the Option Premium shall be applied against the Option Purchase Price in accordance with Section 2.3 below. In all other circumstances, including but not limited to the sale of the Shares pursuant to the Put Right, the Stockholders shall be entitled to retain the Option Premium.
Option Premium. RSMI agrees to pay the Stockholders and the Escrow Agent (as defined below) a total of $200,000.00 in cash or other immediately available funds on or before March 31, 1998 (the "Option Premium") in exchange for the Options (as defined below). RSMI agrees to pay the Option Premium as follows:
(a) One hundred thousand dollars to the Stockholders, whereby each Stockholder will be entitled to the portion of the Option Premium as specified in Exhibit B; and
(b) One hundred thousand dollars to the Escrow Agent (as defined below).
Option Premium. On the Effective Date (as defined below), Bradlees -------------- shall pay to each Noteholder an option premium equal to one half of one percent (.5%) of the principal amount of the Discount Option Notes as set forth with respect to such Noteholder on Schedule A attached hereto, less, in the case of each Noteholder other than a Majority Noteholder (as defined below), an amount equal to the Majority Noteholder Expenses (as defined below) paid by Bradlees or BSI to the Majority Noteholders pursuant Section 9.11 hereof, multiplied by a fraction the numerator of which is the principal amount of Discount Option Notes of such Noteholder as set forth on Schedule A attached hereto and the denominator of which is the principal amount of Discount Option Notes of all Noteholders other than the Majority Noteholders as set forth on Schedule A attached hereto (the "OPTION PREMIUM").
Option Premium. 6.1.1 In consideration for the Founders granting the Options to the Financier, the Financier shall on the Effective Date pay EUR 16,667 in cash to each of the Founders (i.e., in total EUR 50,001) and either (a) pay in cash to each of the Founders EUR 66,667 (i.e., in total EUR 200,001) or (b) if the Financier so decides in its sole discretion and its corporate organs have so approved, issue Consideration Shares amounting to EUR 66,667 in value to each of the Founders (i.e., in total EUR 200,001 in value).
6.1.2 It is agreed and acknowledged between the Parties that the Founders are entitled to the cash payments and possible Consideration Shares (without any repayment obligation) set out in Section 6.1.1 even if the Financier would not purchase or is not allowed to purchase the First Tranche Shares as set out below in Section 6.3. The Financier acknowledges that the aforesaid is reasonable in view of the purpose of this Agreement and the intent of the Parties.
Option Premium. The Borrower shall pay to the Administrative Agent, for the account of each of the Lenders that shall have made a Secondary Facility Commitment, an option premium (the “Option Premium”) in an aggregate amount equal to $1,000,000. The Option Premium shall be fully earned on the Fifth Amendment Effective Date and shall be due and payable by the Borrower to the Administrative Agent in cash on the earlier of (x) September 14, 2020 and (y) the Secondary Facility Satisfaction Date. The Option Premium shall be allocated among, and paid to, each Lender that shall have made a Secondary Facility Commitment in proportion to the Secondary Facility Commitments of each such Lender as of the Fifth Amendment Effective Date. The Option Premium shall not be subject to offset and, once paid, shall not be refundable for any reason whatsoever.
Option Premium. The Company has paid an option premium of HK$15 million for the original option to acquire interests in the Target Company and its subsidiaries from the Vendors and the option to dispose of Central Bingo to the Vendors upon the entering of the Option Agreement on 5 November 2010. Such option premium has been redefined as the option premium payable for the First Tranche Option and the Second Tranche Option.
Option Premium. In the event AOS exercises the Option during the Option Period and the Closing is consummated pursuant to the Asset Purchase Agreement, the Purchase Price shall be reduced by the amount of the Option Premium as set forth in the Asset Purchase Agreement.
Option Premium. KTOC agrees to pay the Stockholder $10.00 in cash or other immediately available funds on or before March 31, 1998 (the "Option Premium") in exchange for the Option (as defined below).
