Top Image Systems Board approves repricing of outstanding stock options - Quick Facts - 1 Jan 2009

Top Image Systems Board approves repricing of outstanding stock options - Quick Facts

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 Top Image Systems, Ltd. (TISA: News )
announced that its Board of Directors approved the repricing of its
outstanding stock options, as a means of rewarding and motivating its
workforce, in order to align their goals with the long-term increase in
shareholder value.

The company is offering its option holders
the opportunity to surrender their "underwater" vested options and be
issued new options, each having an exercise price of $1.30 per share.
Top Image Systems said its option holders currently hold a total of
approximately 1.5 million options with an average exercise price of
$3.17 a share.

The company expects to issue options to purchase
up to its 900 thousand shares in replacement of the options that will
be surrendered by the option holders.

Top Image Systems noted
that the reduction in the number of options to be issued is based on a
formula that takes into account Top Image Systems share price as of
January 1, 2009, which is the repricing grant date, the original option
exercise price and the total number of the options held by each option
holder. The total value of the options held by each option holder
before and after the repricing will remain the same.

Except
for the exercise price and the number of Top Image Systems shares, each
new option will have the same terms as the original option and will
expire on the expiration date of the original option.

Further,
Top Image Systems specified that the repricing applies to the vested
options of all employees and directors and the result will not affect
its Profit and Loss Statement for 2009.

by RTT Staff Writer

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