XML 30 R16.htm IDEA: XBRL DOCUMENT v3.5.0.2
STOCK-BASED COMPENSATION
 6 Months Ended
Jun. 30, 2016
STOCK-BASED COMPENSATION [Abstract]  
STOCK-BASED COMPENSATION
NOTE 11 - STOCK-BASED COMPENSATION

Restricted Stock

Under the restricted stock plans approved by our shareholders (the “Restricted Stock Plans”), directors, consultants and employees were awarded shares of DXP’s common stock. The shares of restricted stock granted to employees and that are outstanding as of June 30, 2016 vest in accordance with one of the following vesting schedules: 100% one year after date of grant; 33.3% each year for three years after the date of grant; 20% each year for five years after the grant date; or 10% each year for ten years after the grant date. The shares of restricted stock granted to non-employee directors of DXP vest one year after the grant date. The fair value of restricted stock awards was measured based upon the closing prices of DXP’s common stock on the grant dates and is recognized as compensation expense over the vesting period of the awards. Once restricted stock vests, new shares of the Company’s stock are issued.

The following table provides certain information regarding the shares authorized and outstanding under the Restricted Stock Plans at June 30, 2016:

Number of shares authorized for grants
  
1,300,000
 
Number of shares granted
  
(883,199
)
Number of shares forfeited
  
158,876
 
Number of shares expired from 2005 plan
  
(81,527
)
Number of shares available for future grants
  
494,150
 
Weighted-average grant price of granted shares
 
$
28.26
 
 
Changes in restricted stock for the six months ended June 30, 2016 were as follows:

  
Number of
Shares
  
Weighted
Average
Grant Price
 
Non-vested at December 31, 2015
  
137,507
  
$
54.58
 
Granted
  
10,000
  
$
16.35
 
Forfeited
  
(15,000
)
 
$
91.56
 
Vested
  
(46,642
)
 
$
52.32
 
Non-vested at June 30, 2016
  
85,865
  
$
44.89
 
 
Compensation expense, associated with restricted stock, recognized in the six months ended June 30, 2016 and 2015 was $1.3 million and $1.6 million, respectively. Related income tax losses recognized in earnings for the six months ended June 30, 2016 were approximately $0.6 million. Unrecognized compensation expense under the Restricted Stock Plan at June 30, 2016 and December 31, 2015 was $2.9 million and $4.2 million, respectively. As of June 30, 2016, the weighted average period over which the unrecognized compensation expense is expected to be recognized is 20.68 months.