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Stock-Based Compensation (Tables)
 12 Months Ended
Dec. 31, 2013
Stock Based Compensation [Abstract]  
Schedule of option-pricing model assumptions and weighted-average fair values
The fair value of stock option awards was estimated using the Black-Scholes option-pricing model with the following assumptions and weighted-average fair values as follows:

 
 
December 31,
 
Stock Options:
 
2011
  
2012
  
2013
 
 
 
  
  
 
Weighted average grant date fair value of grants
 
$
9.98
  
$
13.31
  
$
22.10
 
Risk-free interest rate(1)
  
1.8
%
  
0.8
%
  
1.4
%
Dividend yield(2)
  
2.6
%
  
2.7
%
  
3.1
%
Expected volatility(3)
  
38.4
%
  
46.8
%
  
41.7
%
Expected life in months(4)
 
63 months
  
58 months
  
62 months
 
 
(1)The risk-free interest rate is based upon the rate on a zero coupon U.S. Treasury bill, for periods within the contractual life of the option, in effect at the time of the grant.

(2)
The dividend yield is based on the average of historical stock prices and actual dividends paid.
 
(3)Expected volatility is based on the historical volatility of the Company's stock price, over a period similar to the expected life of the option.

(4)The expected term of the option is based on the historical employee exercise behavior, the vesting terms of the respective option, and a contractual life of either seven or ten years.


 
TABLE OF CONTENTS
 
NU SKIN ENTERPRISES, INC.
Notes to Consolidated Financial Statements
 
Schedule of option activity
Options under the plans as of December 31, 2013 and changes during the year ended December 31, 2013 were as follows:

 
 
Shares
(in thousands)
  
Weighted-average Exercise Price
  
Weighted- average Remaining Contractual Term
(in years)
  
Aggregate Intrinsic Value
(in thousands)
 
 
 
  
  
  
 
Options activity – service based
 
  
  
  
 
Outstanding at December 31, 2012
  
3,235.2
  
$
18.55
  
  
 
Granted
  
172.5
   
94.53
  
  
 
Exercised
  
(1,244.0
)
  
16.16
  
  
 
Forfeited/cancelled/expired
  
(3.9
)
  
13.45
  
  
 
Outstanding at December 31, 2013
  
2,159.8
   
26.01
   
2.82
  
$
242,347
 
Exercisable at December 31, 2013
  
1,763.0
   
17.55
   
2.17
   
212,740
 
 
                
Options activity – performance based
                
Outstanding at December 31, 2012
  
2,727.0
  
$
28.06
         
Granted
  
2,605.5
   
77.51
         
Exercised
  
(794.4
)
  
25.10
         
Forfeited/cancelled/expired
  
(55.0
)
  
33.89
         
Outstanding at December 31, 2013
  
4,483.1
   
57.25
   
5.26
  
$
362,975
 
Exercisable at December 31, 2013
  
1,826.7
   
28.72
   
3.47
   
200,034
 
 
                
Options activity – all options
                
Outstanding at December 31, 2012
  
5,962.2
  
$
22.90
         
Granted
  
2,778.0
   
78.57
         
Exercised
  
(2,038.4
)
  
19.65
         
Forfeited/cancelled/expired
  
(58.9
)
  
32.54
         
Outstanding at December 31, 2013
  
6,642.9
   
47.10
   
4.47
  
$
605,322
 
Exercisable at December 31, 2013
  
3,589.7
   
23.23
   
2.83
   
412,774
 
Schedule of cash proceeds, tax benefits, and intrinsic value related to total stock options exercised
Cash proceeds, tax benefits, and intrinsic value related to total stock options exercised during 2011, 2012 and 2013, were as follows (in millions):

 
 
December 31,
 
 
 
2011
  
2012
  
2013
 
 
 
  
  
 
Cash proceeds from stock options exercised
 
$
29.7
  
$
8.0
  
$
37.9
 
Tax benefit realized for stock options exercised
  
17.4
   
6.3
   
41.9
 
Intrinsic value of stock options exercised
  
61.6
   
10.6
   
241.7
 
Schedule of non-vested restricted stock awards and changes
Nonvested restricted stock awards as of December 31, 2013 and changes during the year ended December 31, 2013 were as follows:

 
 
Number of Shares
(in thousands)
  
Weighted-average Grant
Date Fair Value
 
 
 
  
 
Nonvested at December 31, 2012
  
729.0
  
$
39.68
 
 
        
Granted
  
315.8
   
41.59
 
Vested
  
(305.4
)
  
34.88
 
Forfeited
  
(9.8
)
  
42.10
 
 
        
Nonvested at December 31, 2013
  
729.6
   
42.48