Financial Statements

Notes to the Consolidated Financial Statementsfor the year to 31 December 2008

29. Own shares

£m
Balance at 1 January 2007 45.0
Acquired in the year 251.6
Disposed of on exercise of options (14.6)
Balance at 31 December 2007 282.0
Disposed of on exercise of options (6.3)
Balance at 31 December 2008 275.7

The own shares reserve represents the cost of shares in Taylor Wimpey plc purchased in the market and those held as treasury shares and held by the Taylor Wimpey plc Employee Benefit Trust to satisfy options under the Group’s share options schemes.

During the year, Taylor Wimpey plc purchased none of its own shares (2007: 94.8m).

2008
Number
2007
Number
These comprise ordinary shares of the Company:    
Treasury shares 92.7m 102.7m
Shares held in trust for bonus, option and performance award plans 6.8m 4.5m
99.5m 107.2m

Employee Share Ownership Trusts ('ESOTs') are used to hold the Company's shares ('shares') which are either acquired on the market or (during 2008) transferred out of the Company's holding of shares in Treasury. These shares are used to meet the valid exercise and/or vesting of conditional awards (under the DBP and PSP) and options (under the Savings-Related, Executive Share Option, George Wimpey LTIP and Executive Bonus Plans) over shares, and the matching award of shares under the Share Purchase Plan.

During the year, 10.0m (2007: 4.3m) shares were transferred out of the Company's Treasury holding to the ESOTs for this purpose.

The ESOTs' entire holding of shares at 31 December 2008, aggregating 6.7m shares (2007: 4.5m), was covered by outstanding options and conditional awards over shares at that date.