Options Outstanding Options Exercisable Options Weighted Weighted Options Weighted Range of Outstanding Average Average Exercisable Average Exercise at January 29, Remaining Exercise  at January 29, Exercise  Prices 2005 Contractual Life Price 2005 Price 0.86 15,923 (1) $ 0.86 15,923 $ 0.86 $2.95 to $10.98 67,208  2.2 9.43  67,208  9.43 $10.99 to $21.28 2,073,488  7.2 19.21  951,914  18.59 $21.29 to $29.79 2,951,662  7.0 24.83  1,337,427  24.27 $29.80 to $42.56 1,439,138  6.9 32.29  909,630  32.61 $0.86 to $42.56 6,547,419  3,282,102 (1) Represents options granted under the SOP in 1993 and 1994. These options have no expiration date. Employee Stock Purchase Plan Restricted Stock In 2002, the Company adopted a restricted stock plan, under which a maximum of 4,500 shares of common stock may be awarded to certain employees with no cash payments required by the recipient. Under this plan, the Company awarded 4,500 shares of common stock to an employee during 2002, which vest ratably over a three- year period. The $150 market value of the shares awarded was recorded as unearned compensation and is shown as a separate component of shareholders’ equity. The unearned compensation is being amortized to compensation expense over the three-year vesting period. In 2004, the Company awarded an employee 5,000 restricted stock units from the 2003 Equity Incentive Plan, which vest ratably over a five-year period. The  $165 market value of the units awarded was recorded  as unearned compensation and is shown as a separate component of shareholders’ equity. The unearned compensation is being amortized to compensation expense over the five-year vesting period. Total amortization for these awards for the years ended January 29, 2005 and January 31, 2004, the one- month period ended February 1, 2003 and the year ended December 2002 was approximately $126, $50, $5 and $33, respectively. In 2002, the Company issued 4,000 shares of restricted stock to non-employees in recognition of past services provided to the Company. The shares vested immediately upon issuance. The market value of the shares awarded was approximately $125 and was recorded as a component of operating expenses during 2002. Under the Dollar Tree Stores, Inc. Employee Stock Purchase Plan (ESPP), the Company is authorized to issue up to 759,375 shares of common stock to eligible employees. Under the terms of the ESPP, employees can choose to have up to 10% of their annual base earnings withheld to purchase the Company’s common stock. The purchase price of the stock is 85% of the lower of the price at the beginning or the end of the quarterly offering period. Under the ESPP, the Company has sold 645,097 shares as of January 29, 2005. The fair value of the employees’ purchase rights is estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted average assumptions: Fiscal Fiscal Fiscal  2004 2003 2002 Expected term 3 months 3 months 3 months Expected volatility 15.6% 19.8% 28.2% Annual dividend yield — — — Risk free interest rate 2.1% 1.1% 1.6% The weighted average per share fair value of those purchase rights granted in 2004, 2003 and 2002 was $4.93, $4.60 and $5.02, respectively. NOTE 10 – ACQUISITION On June 29, 2003, the Company acquired 100% of the outstanding capital stock of Greenbacks, Inc. (Greenbacks). The results of Greenbacks’ operations are included in the accompanying consolidated financial statements since 46 DOLLAR TREE STORES, INC. • 2004 ANNUAL REPORT NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)