Company: ICUI
Filing Date: 2025-02-27
Form Type: 10-K
Source: 0000883984-25-000007
Chunk: 235

Company: ICU MEDICAL INC/DE
Filing Date: 2025-02-27
Form: 10-K
Item: Item 1
Chunk 235
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ed at December 31, 2023448,601 $199.68 Change in units due to performance expectations (1)2,081 $198.05 Granted374,117 $105.37 Vested(258,756)$207.72 Forfeited(15,032)$140.87 Non-vested and expected to vest at December 31, 2024551,011 $133.47 1.0$85,500 _______________________________(1)    Relates to adjustments to 2021 PRSUs granted to executives that vested during 2024. 

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ICU MEDICAL, INC. AND SUBSIDIARIESNOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

ESPP 

We have an ESPP under which U.S. employees may purchase up to $25,000 annually of common stock at 85% of its fair market value at the beginning or the end of a six-month offering period, whichever is lower. There were 750,000 shares of common stock reserved for issuance under the ESPP, which is subject to an annual increase of the least of 300,000 shares, two percent of the shares outstanding or such a number as determined by the Board. To date, there have been no increases. The ESPP is intended to constitute an “employee stock purchase plan” within the meaning of Section 423 of the Internal Revenue Code.  We suspended our ESPP in 2017. All shares unissued under the plan expired during 2022. 

NOTE 9. DERIVATIVES AND HEDGING ACTIVITIES

Hedge Accounting and Hedging ProgramThe purposes of our cash flow hedging programs are to manage the foreign currency exchange rate risk on forecasted revenues and expenses denominated in currencies other than the functional currency of the operating unit, and to manage floating interest rate risk associated with future interest payments on variable-rate term loans issued in 2022. We do not issue derivatives for trading or speculative purposes.To receive hedge accounting treatment, all hedging relationships are formally documented at the inception of the hedge, and the hedges must be highly effective in offsetting changes to future cash flows on hedged transactions. The derivative instruments we utilize, including various foreign exchange contracts and interest rate swaps, are designated and qualify as cash flow hedges. Our derivative instruments are recorded at fair value on the consolidated balance sheets and are classified based on the instrument's