On 22 August 2007 Kaupthing Bank hf. granted 28 employees, mainly new employees, options to buy a total of 1.155 million shares, with a nominal value of ISK 11,550,000, with the right to exercise one third of the option from 20 January to 25 February each year, for the first time in 2010. The option has an exercise price of ISK 1,110 per share during the first exercise period, ISK 1,166 per share during the exercise period in 2011 and ISK 1,224 per share during the exercise period in 2012. Employees may defer the right to exercise the option during the period of the agreement, but the exercise price for the deferred shares increases to the exercise price which is valid for the period when the option is eventually exercised. (Stock option plan II, 2006.)