XML 21 R10.htm IDEA: XBRL DOCUMENT v3.4.0.3
STOCK-BASED COMPENSATION
 3 Months Ended
May. 01, 2016
STOCK-BASED COMPENSATION

NOTE C. STOCK-BASED COMPENSATION

Equity Award Programs

Our Amended and Restated 2001 Long-Term Incentive Plan (the “Plan”) provides for grants of incentive stock options, nonqualified stock options, stock-settled stock appreciation rights (collectively, “option awards”), restricted stock awards, restricted stock units (including those that are performance-based), deferred stock awards (collectively, “stock awards”) and dividend equivalents up to an aggregate of 32,310,000 shares. As of May 1, 2016, there were approximately 7,441,000 shares available for future grant. Awards may be granted under the Plan to officers, employees and non-employee members of the board of directors of the company (the “Board”) or any parent or subsidiary. Shares issued as a result of award exercises or releases are primarily funded with the issuance of new shares.

Option Awards

Annual grants of option awards are limited to 1,000,000 shares on a per person basis and have a maximum term of seven years. The exercise price of these option awards is not less than 100% of the closing price of our stock on the day prior to the grant date. Option awards granted to employees generally vest evenly over a period of four years for service-based awards. Certain option awards contain vesting acceleration clauses resulting from events including, but not limited to, retirement, merger or a similar corporate event.

Stock Awards

Annual grants of stock awards are limited to 1,000,000 shares on a per person basis. Stock awards granted to employees generally vest evenly over a period of four years for service-based awards. Certain performance-based awards, which have variable payout conditions based on predetermined financial targets, vest three years from the date of grant. Certain stock awards and other agreements contain vesting acceleration clauses resulting from events including, but not limited to, retirement, merger or a similar corporate event. Stock awards granted to non-employee Board members generally vest in one year. Non-employee Board members automatically receive stock awards on the date of their initial election to the Board and annually thereafter on the date of the annual meeting of stockholders (so long as they continue to serve as a non-employee Board member).

Stock-Based Compensation Expense

During the thirteen weeks ended May 1, 2016 and May 3, 2015, we recognized total stock-based compensation expense, as a component of selling, general and administrative expenses, of $15,732,000 and $14,010,000, respectively.

 

Stock Options

The following table summarizes our stock option activity during the thirteen weeks ended May 1, 2016:

 

      Shares  

Balance at January 31, 2016 (100% vested)

      38,500   

Granted

      —     

Exercised

      (38,500 ) 

Cancelled

      —     

Balance at May 1, 2016

      —     

Stock-Settled Stock Appreciation Rights

The following table summarizes our stock-settled stock appreciation right activity during the thirteen weeks ended May 1, 2016:

 

      Shares  

Balance at January 31, 2016 (100% vested)

      634,609   

Granted

      —     

Converted into common stock

      (97,095 ) 

Cancelled

      —     

Balance at May 1, 2016 (100% vested)

      537,514   

Restricted Stock Units

The following table summarizes our restricted stock unit activity during the thirteen weeks ended May 1, 2016:

 

      Shares  

Balance at January 31, 2016

      2,288,958   

Granted

      1,017,858   

Released

      (833,836 ) 

Cancelled

      (135,953 ) 

Balance at May 1, 2016

      2,337,027   

Vested plus expected to vest at May 1, 2016

      1,488,811