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Capital Stock and Equity Compensation | 12 Months Ended
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Dec. 31, 2023
Share-Based Payment Arrangement, Noncash Expense [Abstract] |
Capital Stock and Equity Compensation | Capital Stock and Equity Compensation Capital Stock Our 2019 Long-Term Equity Compensation Plan, which was approved by our shareholders in May 2019, permits the granting of restricted stock units and certain other forms of equity awards to officers and other key employees. Under this plan, we also grant each non-management director deferred stock units, which permit non-management directors to receive, at a later date, one share of Rogers capital stock for each deferred stock unit, with no payment of any consideration by the director at the time the shares were received. Shares of capital stock reserved for possible future issuance were as follows:
| As of December 31,
| 2023 |  | 2022
Shares reserved for issuance under outstanding restricted stock unit awards | 248,055 |  |  | 255,310 |
Deferred compensation to be paid in stock, including deferred stock units | 8,100 |  |  | 6,850 |
Additional shares reserved for issuance under Rogers Corporation 2019 Long-Term Equity Compensation Plan | 842,046 |  |  | 914,439 |
Shares reserved for issuance under the Rogers Corporation Employee Stock Purchase Plan | 59,611 |  |  | 59,611 |
Total | 1,157,812 |  |  | 1,236,210 |
Share Repurchases In 2015, we initiated a share repurchase program (the Program) of up to $100.0 million of the Company’s capital stock to mitigate the dilutive effects of stock options exercises and vesting of restricted stock units granted by the Company, in addition to enhancing shareholder value. The Program has no expiration date and may be suspended or discontinued at any time without notice. There were no share repurchases in 2023 or 2021. In 2022, we purchased 237,806 shares for a total value of $25.0 million using cash from operations and cash on hand. As of December 31, 2023, $24.0 million remained available to purchase under the Program. Equity Compensation Performance-Based Restricted Stock Units As of December 31, 2023, we had performance-based restricted stock units from 2023 and 2021 outstanding. These awards generally cliff vest at the end of a three-year measurement period. However, employees whose employment terminates during the measurement period due to death, disability, or, in certain cases, retirement may receive a pro-rata payout based on the number of days they were employed during the measurement period. Participants are eligible to be awarded shares ranging from 0% to 200% of the original award amount, based on certain defined performance measures. The outstanding awards have one measurement criteria: the three-year total shareholder return (TSR) on our capital stock as compared to that of a specified group of peer companies. The TSR measurement criteria of the awards is considered a market condition. As such, the fair value of this measurement criteria is determined on the grant date using a Monte Carlo simulation valuation model. We recognize compensation expense on all of these awards on a straight-line basis over the vesting period with no changes for final projected payout of the awards. We account for forfeitures as they occur. Below were the assumptions used in the Monte Carlo calculation for each material award granted in 2023 and 2021:
| February 9, 2023 |  | February 10, 2021
Expected volatility | 53.2% |  | 51.0%
Expected term | 2.9 years |  | 2.9 years
Risk-free interest rate | 4.08% |  | 0.18%
Expected volatility – In determining expected volatility, we have considered a number of factors, including historical volatility. Expected term – We use the vesting period of the award to determine the expected term assumption for the Monte Carlo simulation valuation model. Risk-free interest rate – We use an implied “spot rate” yield on U.S. Treasury Constant Maturity rates as of the grant date for our assumption of the risk-free interest rate. Expected dividend yield – We do not currently pay dividends on our capital stock; therefore, a dividend yield of 0% was used in the Monte Carlo simulation valuation model. A summary of activity of the outstanding performance-based restricted stock units for 2023, 2022 and 2021 is presented below:
| 2023 |  | 2022 |  | 2021
| Awards Outstanding |  | Weighted- Average Grant Date Fair Value |  | Awards Outstanding |  | Weighted- Average Grant Date Fair Value |  | Awards Outstanding |  | Weighted- Average Grant Date Fair Value
Awards outstanding as of January 1 | 65,513 |  |  | $ | 201.18 |  |  | 114,554 |  |  | $ | 196.23 |  |  | 111,059 |  |  | $ | 170.84 |
Awards granted | 50,551 |  |  | 241.47 |  |  | 26,819 |  |  | 176.33 |  |  | 41,507 |  |  | 258.17 |
Stock issued | (8,775) |  |  | 147.58 |  |  | (60,053) |  |  | 179.72 |  |  | — |  |  | — |
Awards forfeited | (33,761) |  |  | 174.43 |  |  | (15,807) |  |  | 204.69 |  |  | (38,012) |  |  | 189.69 |
Awards outstanding as of December 31 | 73,528 |  |  | $ | 247.55 |  |  | 65,513 |  |  | $ | 201.18 |  |  | 114,554 |  |  | $ | 196.23 |
We recognized $3.7 million, $2.3 million and $7.7 million of compensation expense related to performance-based restricted stock units in 2023, 2022 and 2021, respectively. As of December 31, 2023, there was $8.2 million of total unrecognized compensation cost related to unvested performance-based restricted stock units. That cost is expected to be recognized over a weighted average period of 1.0 year. Time-Based Restricted Stock Units As of December 31, 2023, we had time-based restricted stock unit awards from 2023, 2022 and 2021 outstanding. The outstanding awards all ratably vest on the first, second and third anniversaries of the original grant date. However, employees whose employment terminates during the measurement period due to death, disability, or, in certain cases, retirement may receive a pro-rata payout based on the number of days they were employed subsequent to the last grant anniversary date. Each time-based restricted stock unit represents a right to receive one share of the Rogers’ capital stock at the end of the vesting period. The fair value of the award is determined by the market value of the underlying stock price at the grant date. We recognize compensation expense on all of these awards on a straight-line basis over the vesting period. We account for forfeitures as they occur. A summary of activity of the outstanding time-based restricted stock units for 2023, 2022 and 2021 is presented below:
| 2023 |  | 2022 |  | 2021
| Awards Outstanding |  | Weighted- Average Grant Date Fair Value |  | Awards Outstanding |  | Weighted- Average Grant Date Fair Value |  | Awards Outstanding |  | Weighted- Average Grant Date Fair Value
Awards outstanding as of January 1 | 124,284 |  |  | $ | 194.60 |  |  | 96,989 |  |  | $ | 157.49 |  |  | 102,142 |  |  | $ | 120.16 |
Awards granted | 67,734 |  |  | 148.85 |  |  | 96,620 |  |  | 219.60 |  |  | 50,640 |  |  | 180.19 |
Stock issued | (62,251) |  |  | 173.52 |  |  | (48,253) |  |  | 183.00 |  |  | (46,329) |  |  | 146.45 |
Awards forfeited | (28,768) |  |  | 213.84 |  |  | (21,072) |  |  | 223.90 |  |  | (9,464) |  |  | 146.58 |
Awards outstanding as of December 31 | 100,999 |  |  | $ | 171.43 |  |  | 124,284 |  |  | $ | 194.60 |  |  | 96,989 |  |  | $ | 157.49 |
We recognized $9.2 million, $8.2 million and $7.6 million of compensation expense related to time-based restricted stock units in 2023, 2022 and 2021, respectively. As of December 31, 2023, there was $10.9 million of total unrecognized compensation cost related to unvested time-based restricted stock units. That cost is expected to be recognized over a weighted average period of 0.9 years. Deferred Stock Units We grant deferred stock units to non-management directors. These awards are fully vested on the date of grant and the related shares are generally issued on the 13-month anniversary of the grant date unless the individual elects to defer the receipt of those shares. Each deferred stock unit results in the issuance of one share of Rogers’ capital stock. The grant of deferred stock units is typically done annually during the second quarter of each year. The fair value of the award is determined by the market value of the underlying stock price at the grant date. A summary of activity of the outstanding deferred stock units for 2023, 2022 and 2021 is presented below:
| 2023 |  | 2022 |  | 2021
| Awards Outstanding |  | Weighted- Average Grant Date Fair Value |  | Awards Outstanding |  | Weighted- Average Grant Date Fair Value |  | Awards Outstanding |  | Weighted- Average Grant Date Fair Value
Awards outstanding as of January 1 | 6,850 |  |  | $ | 232.51 |  |  | 9,500 |  |  | $ | 173.82 |  |  | 12,450 |  |  | $ | 113.96 |
Awards granted | 8,100 |  |  | 161.90 |  |  | 4,800 |  |  | 272.12 |  |  | 6,450 |  |  | 188.60 |
Stock issued | (6,850) |  |  | 232.51 |  |  | (7,450) |  |  | 183.20 |  |  | (9,400) |  |  | 104.68 |
Awards outstanding as of December 31 | 8,100 |  |  | $ | 161.9 |  |  | 6,850 |  |  | $ | 232.51 |  |  | 9,500 |  |  | $ | 173.82 |
We recognized $1.3 million, $1.3 million and $1.2 million of compensation expense related to deferred stock units in 2023, 2022 and 2021, respectively.

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