MOVADO GROUP, INC. Options exercisable at January 31, 2001, 2000 and 1999 were 813,587, 701,814 and 538,216  respectively. The weighted-average fair value of each option grant estimated on the date of grant using the Black-Scholes option-pricing model is $4.72, $11.18 and $13.34 per share in fiscal 2001, 2000 and 1999, respectively. The  following weighted-average assumptions were used for grants in 2001, 2000 and 1999: dividend yield of 0.86% for fiscal 2001, 0.45% for fiscal 2000 and 0.3% for fiscal 1999; expected volatility of 48% for fiscal 2001, 40% for fiscal 2000 and 45% for fiscal 1999, risk-free interest rates of 6.67% for fiscal 2001, 6.75% for fiscal 2000 and 4.7% for fiscal 1999 and expected lives of seven years for fiscal 2001, 2000 and 1999. The Company applies APB Opinion 25 and related interpretations in accounting for its plans. Accordingly, no compensation cost has been recognized for the Plan. Had compensation cost for the Company’s grants for stock-based compensation plans been determined based on the fair value at the grant dates and recognized ratably over the vesting period, the Company’s net income and net income per share for fiscal 2001, 2000 and 1999 would approximate the pro forma amounts below (in thousands except per share data) : 2001 2000 1999 As Pro As Pro As Pro Reported Forma Reported Forma Reported Forma Net Income $20,767 $19,135 $13,721 $12,216 $20,973 $19,856 Net Income per share-Basic $001.78 $001.64 $001.10 $000.98 $001.63 $001.55 Net Income per share-Diluted $001.75 $001.61 $001.06 $000.95 $001.58 $001.50 Weighted- Average Weighted- Weighted- Remaining Average Average Range of Number Contractual Exercise Number Exercise Exercise Prices Outstanding Life (years) Price Exercisable Price $5.00-$9.99 765,545 5.2 $08.53 486,906 $08.39 $10.00-$14.99 207,756 5.7 $13.16 140,871 $13.17 $15.00-$19.99 24,500 7.9 $15.87 8,800 $16.16 $20.00-$24.99 439,950 8.5 $22.41 99,090 $22.49 $25.00-$29.75 176,550 6.9 $27.44 77,920 $27.39 $5.00-$29.75 1,614,301 6.4 $15.09 813,587 $12.84 The pro forma impact takes into account options granted since February 1, 1995 and is likely to increase in future years as additional options are granted and amortized ratably over the vesting period. The following table summarizes outstanding and exercisable stock options as of January 31, 2001: 54