ITEM 7.
MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS EXECUTIVE SUMMARY International Paper’s operating results in 2007 benefited from significantly higher paper and packaging price realizations.
Sales volumes were slightly higher, with growth in overseas markets partially offset by lower volumes in North America as we continued to balance our production with our customers’ demand.
Operationally, our pulp and paper and containerboard mills ran very well in 2007.
However, input costs for wood, energy and transportation costs were all well above 2006 levels.
In our Forest Products business, earnings decreased 31% reflecting a sharp decline in harvest income and a smaller drop in forestland and real estate sales, both reflecting our forestland divestitures in 2006.
Interest expense decreased over 40%, principally due to lower debt balances and interest rates from debt repayments and refinancings.
Looking forward to the first quarter of 2008, we expect demand for North American printing papers and packaging to remain steady.
However, if the economic downturn in 2008 is greater than expected, this could have a negative impact on sales volumes and earnings.
Some slight increases in paper and packaging price realizations are expected as we implement our announced price increases.
However, first quarter earnings will reflect increased planned maintenance expenses and continued escalation of wood, energy and transportation costs.
As a result, excluding the impact of projected reduced earnings from land sales and the addition of equity earnings contributions from our recent investment in Ilim Holding S. A.  in Russia, we expect 2008 first-quarter earnings to be lower than in the 2007 fourth quarter.
Results of Operations Industry segment operating profits are used by International Paper’s management to measure the earnings performance of its businesses.
Management believes that this measure allows a better understanding of trends in costs, operating efficiencies, prices and volumes.
Industry segment operating profits are defined as earnings before taxes and minority interest, interest expense, corporate items and corporate special items.
Industry segment operating profits are defined by the Securities and Exchange Commission as a non-GAAP financial measure, and are not GAAP alternatives to net earnings or any other operating measure prescribed by accounting principles generally accepted in the United States.
International Paper operates in six segments: Printing Papers, Industrial Packaging, Consumer Packaging, Distribution, Forest Products, and Specialty Businesses and Other.
The following table shows the components of net earnings for each of the last three years:
## Table 0 ##
* Corporate special items include restructuring and other charges, net (gains) losses on sales and impairments of businesses, gains on Transformation Plan forestland sales, goodwill impairment charges, insurance recoveries and reversals of reserves no longer required.
Industry segment operating profits of $2.4 billion were $349 million higher in 2007 than in 2006 due principally to the benefits from higher average price realizations ($461 million), the net impact of cost reduction initiatives, improved operating performance and a more favorable mix of products sold ($304 million), higher sales volumes ($17 million), lower special item costs ($115 million) and other items ($4 million).
These benefits more than offset the impacts of higher energy, raw material and freight costs ($205 million), higher costs for planned mill maintenance outages ($48 million), lower earnings from land sales ($101 million), costs at the Pensacola mill associated with the conversion of a machine to the production of linerboard ($52 million) and reduced earnings due to net acquisitions and divestitures ($146 million).
Table of Contents SVB FINANCIAL GROUP AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - (Continued) The expected volatilities are based on a blended rate consisting of our historic volatility and our expected volatility over a five -year term which is an indicator of expected volatility and future stock price trends.
For 2014 , 2013 and 2012 , expected volatilities for the ESPP were equal to the historical volatility for the previous six-month periods.
The expected risk-free interest rates were based on the yields of U. S.  Treasury securities, as reported by the Federal Reserve Bank of New York, with maturities equal to the expected terms of the employee stock options.
Share-Based Payment Award Activity The table below provides stock option information related to the 2006 Equity Incentive Plan for the year ended December 31, 2014 :
## Table 1 ##
The aggregate intrinsic value of outstanding options shown in the table above represents the pretax intrinsic value based on our closing stock price of $116.07 as of December 31, 2014 .
The following table summarizes information regarding stock options outstanding as of December 31, 2014 :
## Table 2 ##
We expect to satisfy the exercise of stock options by issuing shares registered under the 2006 Incentive Plan.
All future awards of stock options and restricted stock units will be issued from the 2006 Incentive Plan.
At December 31, 2014 , 3,208,414 shares were available for future issuance.
(3) Interest income on non-taxable investment securities is presented on a fully taxable-equivalent basis using the federal statutory income tax rate of 35.0 percent for all periods presented.
(4) Nonaccrual loans are reflected in the average balances of loans.
(5) Interest income includes loan fees of $97.3 million , $84.3 million and $76.1 million in 2014 , 2013 and 2012 , respectively.
(6) Average investment securities of $1.8 billion , $1.3 billion and $1.3 billion in 2014 , 2013 and 2012 , respectively, were classified as other assets as they were noninterestearning assets.
These investments primarily consisted of non-marketable and other securities.
Provision for Loan Losses Our provision for loan losses is based on our evaluation of the existing allowance for loan losses in relation to total gross loans using historical and other objective information, and on our qualitative assessment of the inherent and identified credit risks of the loan portfolio.
For a more detailed discussion of credit quality and the allowance for loan losses, see “Critical Accounting Policies and Estimates” above and “-Consolidated Financial Condition-Credit Quality and the Allowance for Loan Losses” below.
The following table summarizes our allowance for loan losses for 2014 , 2013 and 2012 , respectively:

<table><tr><td><i>In millions</i></td><td>2007</td><td>2006</td><td>2005</td></tr><tr><td>Industry segment operating profits</td><td>$2,423</td><td>$2,074</td><td>$1,622</td></tr><tr><td>Corporate items, net</td><td>-732</td><td>-746</td><td>-607</td></tr><tr><td>Corporate special items*</td><td>241</td><td>2,373</td><td>-134</td></tr><tr><td>Interest expense, net</td><td>-297</td><td>-521</td><td>-595</td></tr><tr><td>Minority interest</td><td>-5</td><td>-9</td><td>-9</td></tr><tr><td>Income tax benefit (provision)</td><td>-415</td><td>-1,889</td><td>407</td></tr><tr><td>Discontinued operations</td><td>-47</td><td>-232</td><td>416</td></tr><tr><td>Net earnings</td><td>$1,168</td><td>$1,050</td><td>$1,100</td></tr></table>
<table><tr><td></td><td>Options</td><td>WeightedAverageExercise Price</td><td>Weighted Average Remaining Contractual Life in Years</td><td>Aggregate Intrinsic Value ofIn-The-Money Options</td></tr><tr><td>Outstanding at December 31, 2013</td><td>1,514,159</td><td>$55.27</td><td></td><td></td></tr><tr><td>Granted</td><td>249,303</td><td>108.05</td><td></td><td></td></tr><tr><td>Exercised</td><td>-330,898</td><td>47.70</td><td></td><td></td></tr><tr><td>Forfeited</td><td>-37,676</td><td>72.45</td><td></td><td></td></tr><tr><td>Outstanding at December 31, 2014</td><td>1,394,888</td><td>66.03</td><td>4.09</td><td>$69,834,175</td></tr><tr><td>Vested and expected to vest at December 31, 2014</td><td>1,352,289</td><td>65.35</td><td>4.04</td><td>68,622,901</td></tr><tr><td>Exercisable at December 31, 2014</td><td>687,696</td><td>50.60</td><td>2.89</td><td>45,022,407</td></tr></table>
<table><tr><td></td><td colspan="3">Outstanding Options</td><td colspan="2">Exercisable Options</td></tr><tr><td>Range of Exercise Prices</td><td>Shares</td><td>Weighted Average Remaining Contractual Life in Years</td><td>Weighted Average Exercise Price</td><td>Shares</td><td>Weighted Average Exercise Price</td></tr><tr><td>$19.48-45.15</td><td>139,582</td><td>1.55</td><td>$23.86</td><td>137,576</td><td>$23.63</td></tr><tr><td>45.16-49.01</td><td>101,374</td><td>1.64</td><td>46.98</td><td>99,564</td><td>46.98</td></tr><tr><td>49.02-60.14</td><td>162,117</td><td>2.66</td><td>50.89</td><td>145,697</td><td>50.24</td></tr><tr><td>60.15-60.51</td><td>191,999</td><td>3.32</td><td>60.37</td><td>127,497</td><td>60.37</td></tr><tr><td>60.52-64.40</td><td>269,220</td><td>4.33</td><td>64.31</td><td>114,437</td><td>64.30</td></tr><tr><td>64.41-67.77</td><td>2,842</td><td>4.25</td><td>64.43</td><td>884</td><td>64.43</td></tr><tr><td>67.78-73.76</td><td>274,906</td><td>5.33</td><td>71.11</td><td>60,161</td><td>71.11</td></tr><tr><td>73.77-107.93</td><td>31,639</td><td>6.31</td><td>99.24</td><td>1,880</td><td>85.15</td></tr><tr><td>107.94-122.55</td><td>221,209</td><td>6.36</td><td>108.43</td><td>—</td><td>—</td></tr><tr><td></td><td>1,394,888</td><td>4.09</td><td>66.03</td><td>687,696</td><td>50.60</td></tr></table>

Question: How many Weighted AverageExercise Price exceed the average of Weighted AverageExercise Price in 2013?
Answer: 2