XML 22 R11.htm IDEA: XBRL DOCUMENT
v3.10.0.1

Stock-Based Compensation | 9 Months Ended
--- | ---
Sep. 30, 2018
Stock-Based Compensation [Abstract] |
Stock-Based Compensation | Note 4 – Stock-Based Compensation The Company’s 2010 Omnibus Incentive Compensation Plan (the 2010 Plan) authorizes the Company, upon approval of the Compensation Committee of the Board of Directors, to grant a variety of awards, including stock options, restricted shares and restricted stock units (both time-based and performance-based) and other forms of equity awards, or any combination thereof, to any director, officer, employee or consultant (including any prospective director, officer, emplo yee or consultant) of the Company. Stock options (which have not been awarded since 2015) are granted to employees with an exercise price equal to the market pric e of the Company’s common stock on the date of grant, generally vest over a four-year period f rom the date of grant and have a term of 10 years. Time-based restricted stock units granted to employees generally vest over a four-year period from the date of grant, subject to the continued employment of the employee by the Company. Performance-based r estricted stock units generally vest over a three-year performance cycle, which includes the year of the grant, and are based upon the Company’s achievement of specified performance metrics. Awards under the 2010 Plan to non-employee directors have been in the form of restricted stock units, which vest in equal quarterly installments over a one-year per iod, starting on the grant date. As of September 30, 2018, 2.7 million additional shares of common stock were available for issuance under the Company’s 20 10 Plan. All share-based payments to employees, including grants of employee stock options, are recognized in the financial statements based on their grant date fair values. The total compensation cost recognized for stock-based awards was $2.8 million and $8.2 million for the three and nine months ended September 30, 2018, respectively, and $2.3 million and $6.8 million for the three and nine months ended September 30, 2017, respectively. The total income tax benefit recognize d in the condensed income statement s for stock-based awards was $0.7 million and $2.0 million for the three and nine months ended September 30, 2018, respectively, and $0.8 million and $2.5 million for the three and nine months ended September 30, 2017, respectively. The compensation expense for stock-based awards is recognized over the vesting period of the awards using the straight-line method. The fair value of each option grant is estimated on the date of grant usi ng the Black-Scholes option pricing model. Awards of restricted stock units and performance-based restricted stock units are valued at the closing market pric e of the Company’s common stock on the date of grant. For performance-based restricted stock units, compensation expense is based on the probability that the performance goals will be achieved, which is monitored by management throughout the requisite service period. When it becomes probable, based on the Company’s expectation of performance during the measurement period, that more or less than the previous estimate of the awarded shares will vest, an adjustment to stock-based compensation expense is recognized as a change in accounting estimate. As of September 30, 2018, the unrecognized compensation cost and remaining weighted-average amortization related to stock-based awards were as follows:
|  |  |  |  |  | Performance-
|  |  |  | Time-based |  | based
|  |  |  | Restricted |  | Restricted
|  | Stock |  | Stock |  | Stock
(in thousands, except remaining period data) |  | Options |  | Units |  | Units(1)
Unrecognized compensation cost |  | $ 112 |  | $ 15,143 |  | $ 4,315
Remaining weighted-average |  |  |  |  |  |  |  |
amortization period |  | 0.4 years |  | 2.4 years |  | 1.4 years
(1) Based on the probable achievement of the performance goals identified in each award.
The total cash received by the Company as a result of stock option exercises for the nine months ended September 30, 2018 and 2017 was a pproximately $3.5 million and $9.8 million, respectively. The actual tax benefit realized as a result of stock option exercises and the vesting of other share-based awards during the nine months ended September 30, 2018 and 2017 was $2.1 million and $4.4 million, respectively. For the nine months ended September 30, 2018 and 2017, the total intrinsic value of stock options exercised was $2.2 million and $6.5 million, respectively. The Company awarde d performance-based restricted stock units to employees during the nine months ended September 30, 2018 and 2017. The number of performance-based restricted stock units that will ultimately be earned will not be determined until the end of the corresponding performance periods, and may vary from as low as zero to as high as 2.5 times the target number depending on the level of achievement of certain performance goals. The level of achievement of these goals is based upon the financial results of the Company for the last full calendar year within the performance period. The performance goals consist of certain levels of achievement using the following financial metrics: revenue growth, operating margin expansion, and return on invested capital. If the performance goals are not met based on the Company’s financial results, the applicable performance-based restricted stock units will not vest and will be forfeited. Shares subject to forfeited performance-based restricted stock units will be available for issuance under the Company’s 2010 Plan. The following table summarizes activities relating to the Company’s stock options:
|  |  |  |  |  |  | Weighted- |  |
|  |  |  |  | Weighted- |  | Average |  | Aggregate
|  | Number of |  |  | Average |  | Remaining |  | Intrinsic
|  | Options |  |  | Exercise |  | Contractual |  | Value
|  | (in thousands) |  |  | Price |  | Term (Years) |  | (in thousands)
Outstanding as of December 31, 2017 |  | 596 |  |  | $19.72 |  |  |  |
Exercised |  | (187) |  |  | 18.61 |  |  |  |
Forfeited or expired |  | (20) |  |  | 22.98 |  |  |  |
Outstanding as of September 30, 2018 |  | 389 |  |  | $20.09 |  | 4.48 |  | $ 1,288
Exercisable as of September 30, 2018 |  | 354 |  |  | $19.78 |  | 3.51 |  | $ 1,279
The aggregate intrinsic value in the table above is before income taxes and is calculated as the difference between the exercise price of the underlying options and the Company’s closing stock price as of the last business day of the period ended September 30, 2018 for options that had exercise prices that were below the closing price. The following table summarizes the activities related to the Company’s ti me-based restricted stock units:
|  |  |  |  | Weighted-
|  | Number of |  |  | Average
|  | Units |  |  | Grant Date
|  | (in thousands) |  |  | Fair Value
Non-vested units outstanding as of December 31, 2017 |  | 593 |  |  | $27.47
Granted |  | 402 |  |  | 29.52
Vested |  | (229) |  |  | 26.79
Forfeited |  | (86) |  |  | 27.35
Non-vested units outstanding as of September 30, 2018 |  | 680 |  |  | $28.93
The following table summarizes the activi ties related to the Company’s performance-based restricted stock units:
|  |  |  |  |  | Weighted-
|  |  | Number of |  |  | Average
|  |  | Units |  |  | Grant Date
|  |  | (in thousands) |  |  | Fair Value
Non-vested units outstanding as of December 31, 2017 |  |  | 346 |  |  | $26.88
Granted (1) |  |  | 120 |  |  | 29.60
Forfeited |  |  | (147) |  |  | 24.06
Non-vested units outstanding as of September 30, 2018 |  |  | 319 |  |  | $29.19
(1) Represents target number of units that can vest based on the achievement of the performance goals.

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_DisclosureOfCompensationRelatedCostsSharebasedPaymentsAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration