Financial statements Notes to the Consolidated Financial Statements continued For the 52 weeks ended 26 June 2021 21 Treasury shares 2021 2020 Number of 2021 Number of 2020 shares £’m shares £’m Outstanding at the beginning of the period 573,590 5.1 867,642 7.8 Reissued during the period in respect of share option schemes (413,271) (3.7) (294,052) (2.7) Outstanding at the end of the period 160,319 1.4 573,590 5.1 The Group acquired no shares through purchases on the London Stock Exchange during the period (2020: nil). The Group reissued 413,271 (2020: 294,052) treasury shares during the period for a total value of £3.7m (2020: £2.7m). Proceeds from the issue of treasury shares included in the Consolidated Statement of Cash Flows and Consolidated Statement of Changes in Equity of £1.8m (2020: £2.0m) is the amount employees contributed. The Group has the right to reissue the remaining treasury shares at a later date. 22 Share-based payments The Group operates a number of share-based payment schemes as follows: DUNELM GROUP SHARE OPTION PLAN (GSOP) These options are granted to particular individuals and are dependent on the level of growth in the Group’s diluted earnings per share relative to RPI as well as continuing employment with the Group. The Dunelm GSOP provides options over shares, exercisable between three and ten years following their grant, to be allocated to Dunelm (Soft Furnishings) Ltd employees at the discretion of the Remuneration Committee. No options were granted to any Directors or changes made to existing entitlements in the year under review. There are no cash-settlement alternatives and they are therefore accounted for under IFRS 2 as equity-settled awards. Option prices are set at the prevailing market price at the time of grant. This is a legacy share option scheme and the last grants under this scheme were made in October 2016. The following table summarises the movement in Dunelm GSOP options during the year: 2021 2020 Weighted Weighted average average 2021 exercise price 2020 exercise price GSOP No. of options (p) No. of options (p) Outstanding at beginning of year 3,731 872.96 81,658 827.97 Exercised – – (77,927) 825.81 Outstanding at end of year 3,731 872.96 3,731 872.96 Exercisable at end of year 3,731 872.96 3,731 872.96 Exercisable at end of year refers to all share options not exercised which have passed their vesting date, but not yet reached their expiry date. The weighted average remaining contractual life of these options is 2.3 years (2020: 3.3 years). DUNELM GROUP SAVINGS RELATED SHARE OPTION PLAN (SHARESAVE) The Dunelm Group Savings Related Share Option Plan (Sharesave) scheme is open to all colleagues with eligible length of service. Invitations to participate in the scheme are issued annually and the scheme is ‘approved’ under HMRC rules. The current maximum monthly savings for the schemes detailed below is £500. Options are granted at the prevailing market rate less a discount of 20%. Options may be exercised under the scheme within six months of the completion of each three-year savings contract (from the grant date). There is provision for early exercise in certain circumstances such as death, disability, redundancy, and retirement. Sharesave options are also accounted for as equity-settled awards under IFRS 2. 212 DUNELM GROUP PLC ANNUAL REPORT & ACCOUNTS 2021