of $2.60 per share. The Company received net proceeds from the sale of the shares, after underwriting
discounts and commissions and related offering expenses, of approximately $56.1 million. The Company
intends to use the net proceeds from this offering to fund research and development efforts, including
clinical trials for Array's proprietary candidates, and for general corporate purposes.
subject to eligibility requirements and annual IRS limits. The Company matches up to 4% of employee
contributions on a discretionary basis as determined by the Company's Board of Directors. Company
contributions are fully vested after four years of employment. The Company paid matching contributions
of approximately $1.0 million, $1.3 million and $1.2 million during the years ended June 30, 2012, 2011
and 2010, respectively.
November 2000. The ESPP allows qualified employees (as defined in the ESPP) to purchase shares of
the Company's common stock at a price equal to 85% of the lower of the closing price at the beginning of
the offering period or of the closing price at the end of the offering period. Effective each January 1, a new
12 month offering period begins ending on December 31 of that year. However, if the closing stock price
on July 1 is lower than the closing stock price on the preceding January 1, then the original 12 month
offering period terminates and the purchase rights under the original offering period roll forward into a new
six month offering period that begins July 1 and ends on December 31.
Option and Incentive Plan (the ``Option Plan'') As of June 30, 2012, 3,072,236 shares of common stock
are reserved for future issuance under the Option Plan to eligible employees, consultants and directors of
the Company. Of the shares available for future issuance, 1,852,795 are available for issuance as
incentive stock options. The remaining shares can be used for other awards under the Option Plan. In
addition, the Option Plan provides for the reservation of additional authorized shares on any given day in
an amount equal to the difference between:
as-converted basis; and
formula exceed, when added to the number of shares of Common Stock outstanding and reserved for
issuance under the Option Plan other than pursuant to this formula, under the ESPP and upon conversion
or exercise of outstanding warrants or convertible securities, the total number of shares of Common Stock
authorized for issuance under the Company's Amended and Restated Certificate of Incorporation.
within the meaning of Section 422 of the Internal Revenue Code of 1986, as amended restricted stock
and other incentive awards and rights to purchase shares of the Company's common stock.
the authority to select the individuals to whom awards will be granted, the number of shares, vesting
terms, exercise price and term of each option grant. Generally, options have a four-year annual vesting
term, an exercise price equal to the market value of the underlying shares at the grant date and a ten-year
life from the date of grant.
these agreements, if a participating executive's employment is terminated without cause or upon a
change in control, then the executive is entitled to accelerated vesting of all or a portion of his unvested
stock options as provided in the executive's agreement.