Employee and Director Benefit Plans

The Company grants common stock options under its 2005 Equity Incentive Plan and its 2005 Directors' Stock Option Plan and issues stock under its 2005 Employee Stock Purchase Plan, which plans have been approved by Versant's shareholders.

Shares Reserved for Future Issuance

At the Company's 2011 annual shareholder meeting, held on April 18, 2011, the shareholders approved an increase of 300,000 shares and 20,000 shares in the numbers of shares reserved under the Company's 2005 Equity Incentive Plan and 2005 Directors' Stock Option Plan, respectively.

The Company has reserved shares of common stock for the following purposes (in thousands):



Reserved for issuance:
Employee stock purchase plan	30
Stock options available for grant	350
Unexercised stock options	647
Balance as of July 31, 2011	1,027

The following table summarizes stock option activities under the Company’s equity-based compensation plans during the nine months ended July 31, 2011 and 2010:



	Nine Months Ended July 31,
	2011				2010
	Shares in thousands		Weighted average exercise price		Shares in thousands		Weighted average exercise price
Stock option activity:
Outstanding at the beginning of the period	515		$	16.84	386		$	18.45
Granted	165		11.96		148		18.15
Exercised	(7	)	4.03		(3	)	10.85
Forfeited and expired	(26	)	26.98		(27	)	38.56
Outstanding at the end of the period	647		$	15.31	504		$	17.32

Options exercisable at the end of the period	442		$	16.06	310		$	17.40