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Stock Compensation | 6 Months Ended
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Mar. 31, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] |
Stock Compensation | The Company recognized consolidated stock-based compensation expense of $15.9 and $25.0 during the three months ended March 31, 2017 and 2016, respectively, and $27.0 and $40.0 during the six months ended March 31, 2017 and 2016, respectively. Stock-based compensation expense is principally included in “Selling, acquisition, operating and general expenses” in the accompanying Condensed Consolidated Statements of Operations. A summary of stock option awards outstanding as of March 31, 2017 and related activity during the six months then ended are as follows (option amounts in thousands):
|  | HRG
Stock Option Awards |  | Options |  | Weighted Average Exercise Price |  | Weighted Average Grant Date Fair Value
Stock options outstanding at September 30, 2016 |  | 4,231 |  |  | $ | 9.48 |  |  | $ | 3.80 |
Granted |  | 318 |  |  | 15.39 |  |  | 5.96 |
Exercised |  | (491 | ) |  | 11.18 |  |  | 4.49 |
Stock options outstanding at March 31, 2017 |  | 4,058 |  |  | 9.73 |  |  | 3.89 |
Stock options vested and exercisable at March 31, 2017 |  | 3,615 |  |  | 9.15 |  |  | 3.67 |
Stock options outstanding and expected to vest |  | 4,058 |  |  | 9.73 |  |  | 3.89 |
A summary of restricted stock awards, restricted stock units and performance restricted stock units outstanding as of March 31, 2017 and related activity during the six months then ended, under HRG and Spectrum Brands are as follows (share amounts in thousands):
|  | HRG
Restricted Stock Awards |  | Shares |  | Weighted Average Grant Date Fair Value
Nonvested restricted stock outstanding at September 30, 2016 |  | 1,975 |  |  | $ | 12.74 |
Granted |  | 25 |  |  | 15.71 |
Exercised/Released |  | (1,832 | ) |  | 12.69 |
Nonvested restricted stock outstanding at March 31, 2017 |  | 168 |  |  | 13.72 |
|  | HRG |  | Spectrum Brands
Restricted Stock Units |  | Units |  | Weighted Average Grant Date Fair Value |  | Units |  | Weighted Average Grant Date Fair Value
Restricted stock units outstanding at September 30, 2016 |  | 42 |  |  | $ | 12.33 |  |  | 577 |  |  | $ | 94.97 |
Granted |  | — |  |  | — |  |  | 690 |  |  | 126.96 |
Vested/Exercised |  | (42 | ) |  | 12.33 |  |  | (491 | ) |  | 109.09 |
Forfeited or Expired |  | — |  |  | — |  |  | (7 | ) |  | 116.13 |
Restricted stock units outstanding at March 31, 2017 |  | — |  |  | — |  |  | 769 |  |  | 114.46 |
A summary of warrants outstanding as of March 31, 2017 and related activity during the six months then ended under HRG’s incentive plan are as follows (share amounts in thousands):
|  | HRG
Warrants |  | Units |  | Weighted Average Exercise Price |  | Weighted Average Grant Date Fair Value
Warrants outstanding at September 30, 2016 |  | 1,200 |  |  | $ | 13.13 |  |  | $ | 3.22 |
Exercised |  | (600 | ) |  | 13.13 |  |  | 3.22 |
Warrants outstanding at March 31, 2017 |  | 600 |  |  | 13.13 |  |  | 3.22 |
Warrants outstanding and expected to vest |  | 600 |  |  | 13.13 |  |  | 3.22 |
HRG HRG granted no stock option awards, restricted stock units or restricted stock awards during the three months ended March 31, 2017. During the six months ended March 31, 2017, HRG granted stock option awards and restricted stock awards representing approximately 318 thousand and 25 thousand, respectively. All of these grants are time based, and vest either immediately, or over a period of up to 3 years. The total fair value of the stock grants during the six months ended March 31, 2017 on their respective grant dates was approximately $2.3. During the six months ended March 31, 2017, stock option awards and restricted stock awards with a total fair value of $29.8 vested. The total intrinsic value of share options exercised during the six months ended March 31, 2017 was $2.8, for which HRG received cash of $5.5 in settlement. During the six months ended March 31, 2016, HRG granted stock option awards, restricted stock awards and restricted stock unit awards representing approximately 28 thousand, 99 thousand and 6 thousand shares, respectively. HRG granted no stock option awards, restricted stock units or restricted stock awards during the three months ended March 31, 2016. All of these grants are time based, and vest either immediately, or over a period of up to 3 years. The total fair value of the stock grants during the six months ended March 31, 2016 on their respective grant dates was approximately $1.6. During the six months ended March 31, 2016, stock option awards and restricted stock awards with a total fair value of $30.3 vested. The total intrinsic value of stock options exercised during the six months ended March 31, 2016 was $2.1, for which HRG received cash of $3.2 in settlement. Under HRG’s executive bonus plan for the fiscal year ending September 30, 2017, executives will be paid in cash. In addition, executives may also be granted stock, stock options and shares of restricted stock. As of March 31, 2017, there was approximately $2.1 of total unrecognized compensation cost related to unvested share-based compensation agreements previously granted, which is expected to be recognized over a weighted-average period of 1.37 years. The fair values of restricted stock and restricted stock unit awards are determined based on the market price of HRG’s common stock on the grant date. The fair value of stock option awards and warrants are determined using the Black-Scholes option pricing model. The following assumptions were used in the determination of these grant date fair values for options awarded using the Black-Scholes option pricing model:
| Six months ended March 31,
| 2017 |  | 2016
Risk-free interest rate | 1.80% to 2.25% |  | 1.65% to 1.74%
Assumed dividend yield | —% |  | —%
Expected option term | 5.0 to 6.5 years |  | 5.0 to 5.5 years
Volatility | 35.1% to 37.5% |  | 37.4% to 37.9%
The weighted-average remaining contractual term of outstanding stock option awards and warrants at March 31, 2017 was 4.76 years. On November 17, 2016, the Company and Mr. Asali entered into a Transition Agreement (the “Transition Agreement”), pursuant to which Mr. Asali was expected to leave his positions with the Company and its subsidiaries in the second half of fiscal 2017. On April 14, 2017, Mr. Asali ceased his employment with the Company and resigned from the Board of Directors of the Company and its subsidiaries. In accordance with the Transition Agreement, for the Company’s fiscal 2017, Mr. Asali received a cash bonus of $3.0 on March 31, 2017, and Mr. Asali’s options and restricted stock that were scheduled to vest and settle in November 29, 2017 vested and settled on March 31, 2017. Spectrum Brands Spectrum Brands granted restricted stock units representing approximately 2 thousand and 690 thousand shares during the three and six months ended March 31, 2017, respectively. The 690 thousand restricted stock units granted during the six months ended March 31, 2017 included 81 thousand restricted stock units that vested immediately and 212 thousand restricted stock units that are time-based and vest over a period of less than 1 year. The remaining 397 thousand are both performance and time-based and vest over a period of 1 to 3 years. The total market value of the restricted stock units on the dates of the grants was approximately $87.5. The remaining unrecognized pre-tax compensation cost related to restricted stock units at March 31, 2017 was $43.9. Spectrum Brands granted restricted stock units representing approximately 130 thousand and 572 thousand shares during the three and six months ended March 31, 2016, respectively. The 572 thousand restricted stock units granted during the six months ended March 31, 2016 included 190 thousand restricted stock units that vested immediately and 48 thousand restricted stock units are time-based and vest within a period of 1 year. The remaining 334 thousand shares are both performance and time-based and vest over a period ranging from 1 to 2 years. The total market value of the restricted stock units on the dates of the grants was approximately $54.2. The remaining unrecognized pre-tax compensation cost related to restricted stock units at March 31, 2016 was $40.2. The fair value of restricted stock units is determined based on the market price of Spectrum Brands’ common stock on the grant date.

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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 40 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=65895303&loc=d3e17540-113929 Reference 2: 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=68057994&loc=d3e25284-112666 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SAB Topic 14) -URI http://asc.fasb.org/extlink&oid=27013229&loc=d3e301413-122809 Reference 4: 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 Reference 5: 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 6: 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 + Details
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