Annual Report 200464
NOTES TO THE FINANCIAL STATEMENTS
for the year ended 31 December 2004
18. Contributed Equity (continued)
(c) Santos Employee Share Purchase Plan (continued)
Senior Executive Long Term Incentive
In addition, during the year, selected senior executives of the Company were invited to apply for shares pursuant to the terms of the Santos
Employee Share Purchase Plan as part of the Company’s long term incentive arrangements (and on different terms from the general employee
participation described above). On 27 January 2004 and 1 July 2004, 3,397 and 87,851 (2003: 129,664) shares respectively were allotted to
a trustee to hold for senior executives.
The shares allocated pursuant to the Plan were allotted to a trustee at no cost to participants, to be held on their behalf. The allocation price
is Market Value (as defined above) and the trustee was funded by the Company to subscribe for the shares.
In general the shares are restricted for a period of one year from the date of allotment. If an executive allotted such shares ceased employment
during this period, the Board in its discretion may determine that a lesser restriction on transfer and dealing applies, having regard to the
circumstances of the cessation. The shares can remain on trust for up to four years, during which time the shares are subject to forfeiture if
participants act fraudulently or dishonestly or in breach of their obligations to any Group Company. Participants are entitled to instruct the
trustee as to the exercise of voting rights, receive dividends and participate in bonus and rights issues while the shares are restricted.
The fair value of the 3,397 and 87,851 shares allotted on 27 January 2004 and 1 July 2004 respectively to a trustee to hold for senior executives
was $773,783 at the end of the financial year, being the market price of the ordinary shares of the Company on the Australian Stock Exchange as
at close of trading on that date.
Summary of share movements in the Plan:
Opening Granted during Closing 
balance the year Restriction ceased during the year balance
Number Fair value
Grant dates Number of shares per share Number Date Number
$
2004
7 March 2003 7,800 – – 7,800 7 March 2004 –
8 September 2003 15,400 – – 15,400 8 September 2004 –
22 December 2003 129,664 – – 3,818 3 May 2004 –
3,548 1 June 2004 –
7,273 8 June 2004 –
7,331 2 July 2004 –
4,364 19 July 2004 –
103,330 22 December 2004 –
27 January 2004 – 3,397 6.38 – – 3,397
1 July 2004 – 87,851 6.95 – – 87,851
26 November 2004 – 32,400 7.70 – – 32,400
152,864 123,648 152,864 123,648
2003
7 March 2002 17,200 – – 17,200 7 March 2003 –
2 September 2002 40,600 – – 40,600 2 September 2003 –
7 March 2003 – 7,800 5.61 – – 7,800
8 September 2003 – 15,400 5.77 – – 15,400
22 December 2003 – 129,664 6.38 – – 129,664
57,800 152,864 57,800 152,864
The fair value per share for shares granted during the year and the consideration received by the Company per share is Market Value (as defined
above) less, in the case of General Employee Participation, the discount of 5% referred to above.
The amounts recognised in the financial statements of the Santos Group and the Company in relation to the Santos Employee Share Purchase
Plan during the year were:
Consolidated Santos Ltd
2004 2003 2004 2003
$million $million $million $million
Issued ordinary share capital 0.9 1.0 0.9 1.0
At 31 December 2004, the total number of shares acquired under the Plan since its commencement was 930,112.
SAN165 WWW Fins  30/3/05  11:55 AM  Page 64