Expected volatility definition

Expected volatility means the historical volatility of our Common Stock over the expected term of each grant;

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Expected volatility means a measure of the amount by which a financial variable, such as share price, has fluctuated (historical volatility) or is expected to fluctuate (implied volatility) during a period. Expected volatility is based on the Company’s historical volatility and incorporates the volatility of the common stock of comparable companies when the expected life of the option exceeds the Company’s trading history.

Expected volatility means the historical volatility of our Common Stock over the expected term of each grant. We exclude the period during 2002 when unusual volatility resulted from the exploration of the possible sale of our Company.

Examples of Expected volatility in a sentence

• Expected volatility is based on the historical volatility of the Parent Corporation’s stock price, over a period equal to the “expected term of the option” (as calculated in the “expected term” analysis) on a monthly basis.

• A summary of the assumptions used for stock option grants are as follows: Twelve Months Ended --------------------------- December 31, December 31, 2003 2002 --------------------------- 1995 Stock Option Plan: Dividend yield 0.0% 0.0% Expected volatility 92.0% 92.0% Option forfeiture rate 10.0% 10.0% Risk free interest rate 3.37% 3.52% Expected lives 7.0 years 7.0 years There were no options granted in 2001 under the 1995 Plan.

• Expected dividend yield over contractual term 0.61% N/A Expected life in years 6.5 N/A Expected volatility over contractual term 21.09% N/A Risk-free interest rate over contractual term 2.17% N/A The expected dividend yield assumption is based on the Company's expectation of dividend payouts.

• Expected volatility (%) 42 31 37 Expected dividend yield (%) — — — Expected term (years) 1.61 1.31 0.50 Risk-free interest rate (per annum) (%) 1.55 1.54 1.11 • Expected volatility was estimated based on average annualized standard deviation of the share price of comparable listed companies and applied certain discount for a period equal to the expected term preceding the valuation date.

• The following table provides a summary of the weighted average inputs used for these assumptions: Risk-free interest rate 0.95 % 0.63 % 0.35 % Look-back period 2.84 years 2.84 years 2.84 years Expected volatility 30.12 % 17.17 % 16.75 % Grant date fair value of performance units granted $ 1.03 $ 1.16 $ 0.77 The assumption for expected volatility of our unit price reflects the historical volatility of MPLX common units.

• Expected volatility was determined by reference to historic volatilities.

• The assumptions used to value options granted and/or assumed are as follows: Expected volatility factor 0.39 Approximate risk free interest rate 0.4 % Expected term (in years) 3.35 Expected dividend yield 0 % ParentCo maintains a 401(k) benefit plan allowing eligible U.S.-based employees to contribute up to 90.0% of their annual eligible earnings to the plan on a pretax and after-tax basis, including ▇▇▇▇ contributions, limited to an annual maximum amount as set periodically by the IRS.

• AND SUBSIDIARY NOTES TO CONSOLIDATED FINANCIAL STATEMENTS -------------------- The fair value of each option grant is estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted-average assumptions: 2000 1999 1998 -------- -------- -------- Dividend yield 2.4% 2.4% 2.4% Expected volatility .03% .03% .03% Expected life 10 10 10 Free interest rate 5.3% 5.3% 5.3% Employee Recognition Plan.

• Expected volatility 26.86% 26.35% 25.00% Dividend yield 1.47% 1.91% 2.45% - -------------------------------------------------------------------------------- See "Pro Forma Compensation Expense" in the following "Employee Stock Purchase Plans" section for additional information.

• Expected volatility and expected life of the Warrants are based on historical experience.

More Definitions of Expected volatility

Expected volatility. ’ means a measure of the amount by which a financial variable, such as share price, has fluctuated (historical volatility) or is expected to fluctuate (implied volatility) during a period. Expected volatility is based on the Company’s historical volatility.