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Stock-Based Compensation
3 Months Ended
Mar. 31, 2014
Stock-Based Compensation [Abstract]  
Stock-Based Compensation

4. Stock-based Compensation

During the first quarter of 2014, the Company granted stock only stock appreciation rights (“SOSARs”) on 757 shares of its common stock to eligible employees, of which 220 include performance conditions. The weighted average grant date fair value of the SOSARs was $135.98 per share with a weighted average exercise price of $544.98 per share based on the closing price of common stock on the date of grant. The SOSARs (other than those subject to performance conditions) vest in two equal installments on the second and third anniversary of the grant date.

 

Total stock-based compensation expense was $27,657 ($17,012 net of tax) for the three months ended March 31, 2014, and was $15,655 ($9,534 net of tax) for the three months ended March 31, 2013. A portion of stock-based compensation totaling $298 and $268 for the three months ended March 31, 2014 and 2013, respectively, was recognized as capitalized development and is included in leasehold improvements, property and equipment in the consolidated balance sheet.  During the three months ended March 31, 2014,  194 SOSARs were exercised, and 9 SOSARs were forfeited.