XML 55 R41.htm IDEA: XBRL DOCUMENT
v3.19.1

Stock-based compensation | 3 Months Ended
--- | ---
Mar. 31, 2019
Disclosure Text Block |
Stock-based Compensation | Note 31 - Stock-based compensation In April 2004, the Corporation’s shareholders adopted the Popular, Inc. 2004 Omnibus Incentive Plan (the “Incentive Plan”). The Incentive Plan permits the granting of incentive awards in the form of Annual Incentive Awards, Long-term Performance Unit Awards, Stock Options, Stock Appreciation Rights, Restricted Stock, Restricted Units or Performance Shares. Participants in the Incentive Plan are designated by the Compensation Committee of the Board of Directors (or its delegate as determined by the Boar d). Employees and directors of the Corporation and/or any of its subsidiaries are eligible to participate in the Incentive Plan. Under the Incentive Plan, the Corporation has issued restricted shares and performance shares, which become vested based on th e employees’ continued service with Popular. Unless otherwise stated in an agreement, t he compensation cost associated with the shares of restricted stock is determined based on a two-prong vesting schedule. The first part is vested ratably over five years commencing at the date of grant and the second part is vested at termination of employment after attainment of 55 years of age and 10 years of service. The five-year vesting part is accelerated at termination of employment after attaining 55 years of age and 10 years of service. The vesting schedule for restricted shares granted on or after 2014 was modified as follows, the first part is vested ratably over four years commencing at the date of the grant and the second part is vested at termination of empl oyment after attainment of the earlier of 55 years of age and 10 years of service or 60 years of age and 5 years of service. The four year vesting part is accelerated at termination of employment after attaining the earlier of 55 years of age and 10 years of service or 60 years of age and 5 years of service. The performance share awards consist of the opportunity to receive shares of Popular, Inc.’s common stock provided that the Corporation achieves certain goals during a three-year performance cycle. T he goals will be based on two metrics weighted equally: the Relative Total Shareholder Return (“TSR”) and the Absolute Earnings per Share (“EPS”) goals. The TSR metric is considered to be a market condition under ASC 718. For equity settled awards based on a market condition, the fair value is determined as of the grant date and is not subsequently revised based on actual performance. The EPS metric is considered to be a performance condition under ASC 718. The fair value is determined based on the prob ability of achieving the EPS goal as of each reporting period. The TSR and EPS metrics are equally weighted and work independently. The number of shares that will ultimately vest ranges from 50% to a 150% of target based on both market (TSR) and performa nce (EPS) conditions. The performance shares vest at the end of the three-year performance cycle. If a participant terminates employment after attaining the earlier of 55 years of age and 10 years of service or 60 years of age and 5 years of service, the performance shares shall continue outstanding and vest at the end of the performance cycle. The following table summarizes the restricted stock and performance shares activity under the Incentive Plan for members of management.
(Not in thousands) | Shares |  | Weighted-Average Grant Date Fair Value
Non-vested at December 31, 2017 | 295,340 | $ | 30.75
Granted | 239,062 |  | 45.81
Performance Shares Quantity Adjustment | 234,076 |  | 33.09
Vested | (372,271) |  | 35.83
Forfeited | (14,021) |  | 37.35
Non-vested at December 31, 2018 | 382,186 | $ | 36.41
Granted | 149,986 |  | 55.05
Performance Shares Quantity Adjustment | 22,973 |  | 55.51
Vested | (177,913) |  | 46.12
Non-vested at March 31, 2019 | 377,232 | $ | 40.40
During the quarter ended March 31, 2019, 84,590 shares of restricted stock (March 31, 2018 - 84,616) and 65,396 performance shares (March 31, 2018 - 72,414) were awarded to management under the Incentive Plan. During the quarter ended March 31, 2019, the Corporation recognized $ 3.8 million of restricted stock expense related to management incentive awards, with a tax benefit of $ 0.4 million (March 31, 2018 - $ 2.7 m illion, with a tax benefit of $ 0.3 million). For the quarter ended March 31, 2019, the fair market value of the restricted stock and performance shares vested was $5 million at grant date and $9.8 million at vesting date. This differential triggers a windfall, of $1.8 million that was recorded as a reduction i n income tax expense. For the quarter ended March 31, 2019, the Corporation recognized $3.6 m illion of performance shares expense, with a tax benefit of $0.3 m illion (March 31, 2018 - $2.6 million, with a tax benefit of $0.3 million). The total unrecognized compensation cost related to non-vested restricted stock awards and performance shares to members of management at March 31, 2019 was $ 8.9 million and is expected to be recognized over a weighted-average period of 2.4 y ears. The following table summarizes the restricted stock activity under the Incentive Plan for members of the Board of Directors:
(Not in thousands) | Restricted Stock |  | Weighted-Average Grant Date Fair Value
Non-vested at December 31, 2017 | - | $ | -
Granted | 25,159 |  | 46.71
Vested | (25,159) |  | 46.71
Forfeited | - |  | -
Non-vested at December 31, 2018 | - | $ | -
Granted | 1,052 |  | 49.25
Vested | (1,052) |  | 49.25
Forfeited | - |  | -
Non-vested at March 31, 2019 | - | $ | -
During the quarter ended March 31, 2019, the Corporation granted 1,052 shares of restricted stock to members of the Board of Directors of Popular, Inc. No shares of restricted stock were granted to members of the Board of Directors of Popular, Inc. during the quarter ended March 31, 2018. D uring this period, the Corporation recognized $0.1 million of restricted stock expense, with a tax benefit of $6 t housand (March 31, 2018 - $0.3 million, with a tax benefit of $39 thousand). The fair value at vesting date of the restricted stock vested during the quarter ended March 31, 2019 for directors was $ 0.1 million.

X
- Definition The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -URI http://asc.fasb.org/topic&trid=2228938 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 50 -URI http://asc.fasb.org/subtopic&trid=2208855 + Details
Name: | us-gaap_DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_DisclosureTextBlockAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration