Share-Based Payments

On September 23, 2009, the Company’s board of directors approved the Apollo Commercial Real Estate Finance, Inc., 2009 Equity Incentive Plan (as amended from time to time, the “LTIP”). The LTIP provides for grants of restricted common stock, restricted stock units (“RSUs”) and other equity-based awards up to an aggregate of 7.5% of the issued and outstanding shares of the Company’s common stock (on a fully diluted basis). The LTIP is administered by the compensation committee of the Company’s board of directors (the “Compensation Committee”) and all grants under the LTIP must be approved by the Compensation Committee.

The Company recognized stock-based compensation expense of $4.0 million and $7.4 million for the three and six months ended June 30, 2018, respectively, related to restricted stock and RSU vesting, as compared to $3.5 million and $7.3 million for the three and six months ended June 30, 2017, respectively, related to restricted stock and RSU vesting.

The following table summarizes the grants, vesting and forfeitures of restricted common stock and RSUs during the six months ended June 30, 2018:



	Type	Restricted Stock		RSUs		Grant Date Fair Value ($ in thousands)
Outstanding at December 31, 2017		105,561		1,632,746
	Grant	28,070		—		500
	Vested	(10,394	)	—		N/A
	Forfeiture	—		(29,410	)	N/A
Outstanding at June 30, 2018		123,237		1,603,336

Below is a summary of restricted stock and RSU vesting dates as of June 30, 2018:



Vesting Year	Restricted Stock	RSU	Total Awards
2018	57,540	744,497	802,037
2019	60,803	560,138	620,941
2020	4,894	298,701	303,595
Total	123,237	1,603,336	1,726,573

At June 30, 2018, the Company had unrecognized compensation expense of approximately $1.4 million and $22.6 million, respectively, related to the vesting of restricted stock awards and RSUs noted in the table above.

RSU Deliveries

During the six months ended June 30, 2018, the Company delivered 345,996 shares of common stock for 603,677 vested RSUs. The Company did not deliver any common stock for the three months ended June 30, 2018. The Company allows RSU participants to settle their tax liabilities with a reduction of their share delivery from the originally granted and vested RSUs. The amount, when agreed to by the participant, results in a cash payment to the Manager related to this tax liability and a corresponding adjustment to additional paid in capital on the condensed consolidated statement of changes in stockholders' equity. The adjustment was $4.7 million for the six months ended June 30, 2018, and is included as a reduction of capital related to the Company's equity incentive plan in the condensed consolidated statement of changes in stockholders' equity. There was no adjustment for the three months ended June 30, 2018.