Mahindra Forgings Ltd has informed BSE that the Remuneration / Compensation Committee at its meeting held on May 09, 2008 has granted 2,50,000 options under the Company’s Employee Stock Option Scheme to certain eligible employees of the subsidiary Companies.

Details of the options granted are as follows:

1. Number of options granted : 2,50,000 options. Each option represents one equity share of Rs 10/- each.

2. Number of ordinary shares covered under the option granted : 2,50,000 equity shares of Rs 10/- each.

3. Exercise price : Rs 152/- per option (part of the further grant).

4. Vesting period : Minimum one year from the grant of options.

5. Exercise period : Within a period of five years from the grant of options.

The Remuneration / Compensation Committee considered and approved the Grant of Options to the employees which shall vest in four installments in the following manner:

1. 25% of the total number of Options granted on May 09, 2009.

2. 25% of the total number of Options granted on May 09, 2010.

3. 25% of the total number of Options granted on May 09, 2011.

4. 25% of the total number of Options granted on May 09, 2012.

The grants have been made as per the terms and conditions of the Company’s Employee Stock Option Scheme.