A summary of the awards authorized in each year is below: A summary of the status of TSYS’ performance-based nonvested shares as of December 31, 2010, 2009 and 2008, respectively, and changes during those periods are presented below: During 2010, 2009 and 2008, the Company granted stock options to key TSYS executive officers. The average fair value of the options granted for both years was estimated on the date of grant using the Black-Scholes-Merton option-pricing model. The following table summarizes the weighted average assumptions, and the fair value of the options: In April 2010, the Company granted 1.4 million stock options to key TSYS executive officers that are performance- and/or market conditions-based. These stock options will vest and become exercisable only if the stock price is at least a specified percentage above the grant date stock price on April 30, 2013 or TSYS reaches a specified EPS goal by December 31, 2012. Given the market conditions component, TSYS evaluated the impact using the Monte Carlo simulation to value these awards and ultimately determined that the impact was minimal. The average fair value of the option grants was $3.48 per option and was estimated on the date of grant using the Black- Scholes-Merton option-pricing model with the following weighted average assumptions: exercise price of $16.19; risk-free interest rate of 2.07%; expected volatility of 30.0%; expected term of 4.0 years; and dividend yield of 1.79%. In March 2010, the Company also granted 736,000 stock options to key TSYS executive officers. The average fair value of the option grant was $5.33 per option and was estimated on the date of grant using the Black-Scholes-Merton option-pricing model with the following weighted average assumptions: exercise price of $15.66; risk-free interest rate of 3.77%; expected volatility of 30.0%; expected term of 8.6 years; and dividend yield of 1.79%. The grant will vest over a period of 3 years. The expected term of years for the 2008 grant was determined under the “simplified” method as prescribed by the SEC’s SAB No. 107. 48 Stock Option Awards Year of Initial Award Total Number of Shares Awarded Potential Number of Performance-Based Shares to be Vested 2010............................................................... 279,831 279,831 (2013) 2008............................................................... 182,816 109,688 (2011-2014) Performance-based Nonvested shares (in thousands, except per share data) Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant-Date Fair Value Shares Weighted Average Grant-Date Fair Value 2010 2009 2008 Outstanding at beginning of year. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62 $13.69 62 $23.32 25 $32.27 Granted............................................... 316 15.65 62 13.69 62 23.32 Vested................................................ (62) 13.69 (62) 23.32 (25) 32.27 Forfeited/canceled ....................................... — — — — — — Outstandingatendofyear................................. 316 $15.65 62 $13.69 62 $23.32 2010 2009 2008 Numberofoptionsgranted ............................................... 2,176,963 1,047,949 771,892 Weighted average exercise price. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 16.01 $ 13.11 $ 23.15 Risk-freeinterestrate.................................................... 2.65% 3.19% 3.42% Expectedvolatility...................................................... 30.00% 42.00% 36.57% Expectedterm(years).................................................... 4.89 8.6 8.7 Dividendyield......................................................... 1.79% 2.14% 1.21% Weightedaveragefairvalue............................................... $ 4.11 $ 5.31 $ 9.73