Note 48 – Share-based payment plans (continued) AGL’s TSR ranking relative to ASX100  Percentage of SPRs that vest TSR below 40th percentile  0% TSR between 40th and 50th percentile  Progressive vesting on a straight-line basis from 40% to 50% TSR between 51st and 84th percentile  Progressive vesting on a straight-line basis from >50% and <100% TSR equal to or greater than 85th percentile  100% The following table sets out details of SPRs that have been granted to the Managing Director and remain outstanding under the LTIP at the  end of the reporting period: Weighted average SPRs grant  Number of SPRs  Performance period  Vesting date  fair value 20 June 2011  137,175  1 July 2010 – 30 June 2011  1 September 2011  $7.08 26 February 2010  68,215  1 July 2010 – 30 June 2011  1 September 2011  $12.09 27 October 2008  107,639  1 October 2008 – 1 October 2011  1 October 2011  $10.30 Details of movements in SPRs in the AGL Long-Term Incentive Plan for the Managing Director are set out below: Vested Notionally Lapsed/ but not Balance  Adjustment  granted  Vested  forfeited  Balance  exercisable at beginning  to SPRs  during the  during the  during the  at end of  at end of SPRs grant  of the year  awarded  year  year  year  the year  the year 2011 20 June 2011  – – 137,175 – – 137,175 – 26 February 2010  134,546 (20,855) – (45,476) – 68,215 – 27 October 2008  107,639 – – – – 107,639 – 25 February 2008  80,584 – – (80,584) – – – 25 February 2008  23,331 – – (23,331) – – – 346,100 (20,855) 137,175 (149,391) – 313,029 – 2010 26 February 2010 – – 134,546 – – 134,546 – 27 October 2008 107,639 – – – – 107,639 – 25 February 2008 80,584 – – – – 80,584 – 25 February 2008 23,331 – – – – 23,331 – 211,554 – 134,546 – – 346,100 – The fair value of services received in return for SPRs granted are measured by reference to the fair value of SPRs granted. The estimate of  the fair value of services received is measured based on the Black-Scholes and Monte Carlo simulation methods. The contractual life of the  SPRs is used as an input into this model. Expectations of early vesting are incorporated into the Monte Carlo simulation method. Expected  volatility is based on the historical share price volatility over the past two years. 2011 2010 SPRs grant  20 Jun 11  26 Feb 10 Weighted average fair value at grant date  $7.08 $12.09 Share price at grant date  $14.24 $14.37 Expected volatility  15.0% 20.0% SPR life  0.2 – 4.2 years 0.5 – 4.5 years Expected dividend yield  4.1% 3.9% Risk free interest rate (based on government bonds)  4.7% 3.8% – 5.0% The total expense arising from share-based payment transactions recognised in the income statement as part of employee benefits  expense during the financial year in relation to the Managing Director’s SPRs was: 2011 2010 $m $m Employee benefits expense  0.4 1.7 116 Consolidated  Notes to the  Financial  Statements