SECTION 7.3  Share-based payment 7.3.3  Long-term incentive plan (performance shares) ASSUMPTIONS Number Executive  directors Key  management  personnel Other  management  personnel Resigned  employees Total Performance shares outstanding at 31 December 2012 - - - - - Granted 45,135 52,535 274,379 - 372,049 Transferred - - -924 924 - Adjusted -23,695 -30,167 -140,823 -485 -195,170 Performance shares outstanding at 31 December 2013 21,440 22,368 132,632 439 176,879 2013 2012 Grant date Expiry date Programme Exercise  price Expected  volatility Risk-free interest rate Expected dividend yield Expected life of grant,  years Fair value at  measurement  date Awards outstanding Awards outstanding 01.01.2013 01.05.2016 2013-2015 None 28% 0.2% 1.1% 3.4 277.09 176,879 - Outstanding performance shares under the long-term incentive plan 176,879 - Transferred performance shares comprise performance shares that have been granted to employees who have either moved between management categories or left the  Group during the year. Adjusted performance shares comprise the change in number of performance shares expected to vest based on the development of the vesting  conditions. There were no exercisable performance shares in the long-term incentive plan at 31 December 2013. The granted number of performance shares included in the specifica- tion is the number of performance shares that are expected to vest. The estimated number is revised on a regular basis until vesting. The fair value of equity-settled programmes is  measured at the grant date and recognised in the  income statement under staff costs, net over the  vesting period with a corresponding increase in  equity. The fair value of granted share options and PSUs  is estimated using the Black-Scholes call option  pricing model, taking into account the terms and  conditions upon which the options were granted. The fair value of granted performance shares is  estimated using a stochastic (quasi-Monte Carlo)  valuation model, taking into account the terms  and conditions upon which the performance  shares were granted. On initial recognition of share options, PSUs  and performance shares, an estimate is made  of the number of awards expected to vest. The  estimated number is subsequently revised for  changes in the number of awards expected to  vest. Accordingly, recognition is based on the  number of awards that ultimately vested. 7.3.1  ACCOUNTING POLICIES Carlsberg Group Annual Report 2013 Consolidated financial statements SECTION 7: STAFF COSTS AND REMUNERATION 123