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Stock-Based Compensation | 9 Months Ended
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Sep. 30, 2011
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] |
Stock-Based Compensation | Stock-Based Compensation Information concerning stock-based compensation plans is contained in Note 13 of Notes to Consolidated Financial Statements in the 2010 Annual Reports on Form 10-K. In 2011, the Company changed its approach to awarding stock-based compensation. As a result, no stock options have been granted in 2011 and awards of restricted stock have increased. Stock Options The following table summarizes activity in stock option plans for the nine months ended September 30, 2011:
| Shares |  | Weighted- Average Exercise Price |  | Aggregate Intrinsic Value |  | Weighted- Average Remaining Contract Life
Outstanding at beginning of period | 3,948,262 |  |  | $ | 18.33 |  |  |  |  |  |
Granted | — |  |  | $ | — |  |  |  |  |  |
Exercised | (254,394 | ) |  | $ | 10.99 |  |  |  |  |  |
Forfeited | (10,333 | ) |  | $ | 11.26 |  |  |  |  |  |
Expired | (102,338 | ) |  | $ | 24.96 |  |  |  |  |  |
Outstanding at end of period | 3,581,197 |  |  | $ | 18.68 |  |  | $ | 8,950,188 |  | (1) |  | 5.12 years
Exercisable at end of period | 3,045,556 |  |  | $ | 21.97 |  |  | $ | 6,011,541 |  |  |  | 4.60 years
Options available for future grant(2) | 4,820,656 |  |  |  |  |  |  |  |
(1) At September 30, 2011, the exercise price of 1,923,608 outstanding stock options is greater than the closing price of PNMR common stock on that date; therefore, those options have no intrinsic value. (2) Includes shares available for grants of restricted stock. The following table provides additional information concerning stock option activity:
|  | Nine Months Ended September 30,
Options for PNMR Common Stock |  | 2011 |  | 2010
Weighted-average grant date fair value of options granted |  | $ | — |  |  | $ | 3.05 |
Total fair value of options that vested (in thousands) |  | $ | 1,189 |  |  | $ | 1,027 |
Total intrinsic value of options exercised (in thousands) |  | $ | 1,077 |  |  | $ | 474 |
Restricted Stock and Performance Shares The following table summarizes nonvested restricted stock activity for the nine months ended September 30, 2011:
Nonvested Restricted Stock |  | Shares |  | Weighted- Average Grant-Date Fair Value
Nonvested at beginning of period |  | 237,021 |  |  | $ | 9.24 |
Granted |  | 308,985 |  |  | $ | 13.10 |
Vested |  | (113,576 | ) |  | $ | 9.54 |
Forfeited |  | (1,000 | ) |  | $ | 13.67 |
Nonvested at end of period |  | 431,430 |  |  | $ | 11.92 |
Compensation expense for restricted stock and performance stock awards was determined based on the market price of PNMR stock on the date of grant reduced by the present value of future dividends, which will not be received during the vesting period, applied to the total number of shares that were anticipated to fully vest. The following table provides additional information concerning restricted stock:
|  | Nine Months Ended
|  | September 30,
Nonvested Restricted Stock |  | 2011 |  | 2010
Weighted-average grant date fair value of shares granted |  | $ | 13.10 |  |  | $ | 9.37 |
Total fair value of shares that vested (in thousands) |  | $ | 1,084 |  |  | $ | 1,365 |
Expected quarterly dividends per share |  | $ | 0.125 |  |  | $ | 0.125 |
Risk-free interest rate |  | 1.20 | % |  | 1.36 | %
Beginning in 2009, the Company issued performance share agreements to certain executives that are based upon the Company achieving specified performance targets over periods of one to three years. The determination of the number of shares ultimately issued depends on the levels at which the performance criteria are achieved and cannot be determined until after the performance periods end. For the targets based only on 2010 performance, near optimal level was attained resulting in 88,913 shares being awarded in 2011, which will vest evenly from 2012 through 2014 and are included in the number of shares granted in the above table. Excluded from the above table is a maximum of 560,461 shares based on performance targets through 2013 that would be issued and vest upon issuance if all performance criteria are achieved and all executives remain eligible.

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- 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://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 4 -URI http://asc.fasb.org/extlink&oid=6415400&loc=d3e5444-113901 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher AICPA -Name Statement of Position (SOP) -Number 93-6 -Paragraph 53 -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Staff Accounting Bulletin (SAB) -Number Topic 14 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Statement of Financial Accounting Standard (FAS) -Number 123R -Paragraph 64, 65, A240 -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 40 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6418621&loc=d3e17540-113929 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6415400&loc=d3e5047-113901 Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 50 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6406099&loc=d3e25284-112666 Reference 8: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=6415400&loc=d3e5070-113901 + Details
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