Share-Based Compensation Plans

6 Months Ended

Aug. 31, 2017

Note 15 – Share-Based Compensation Plans

We have equity awards outstanding under several share-based compensation plans. During the three- and six- months ended August 31, 2017, we had the following share-based compensation activity:

We issued 1,504 and 2,928 shares, respectively, to non-employee Board members with a total grant date fair value of $0.1 and $0.3 million, respectively, and average share prices of $93.40 and $95.86, respectively.

We granted time-vested restricted stock units (“RSUs”) that may be settled for 3,108 and 72,915 shares, respectively, of common stock with average fair values at the grant dates of $95.88 per unit, for both periods.

We also granted performance-based restricted stock units (“PSUs”) for 1,524 and 66,534 shares, respectively, of common stock with average fair values at the grant dates of $95.20 and $96.76 per unit, respectively.

Employee RSUs for 869 and 34,135 shares vested and settled with a total fair value at settlement of $0.1 and $3.4 million and an average share price of $96.24 and $98.33, respectively.

Employees exercised stock options to purchase 26,811 and 103,404 shares of common stock, respectively.

During the three months ended May 31, 2017, employee PSUs for 149,884 shares vested and settled with a total fair value at settlement of $14.3 million, and an average share price of $95.55.

We recorded the following share-based compensation expense in SG&A for the periods shown below:

SHARE-BASED PAYMENT EXPENSE


	Three Months Ended August 31,				Six Months Ended August 31,
(in thousands, except per share data)	2017		2016		2017		2016
Stock options	$	423	$	667	$	962	$	1,407
Directors stock compensation		200		175		400		350
Performance based and other stock awards		2,427		2,096		4,939		6,847
Employee stock purchase plan		297		258		297		258
Share-based payment expense		3,347		3,196		6,598		8,862
Less income tax benefits		(591)		(693)		(1,081)		(2,214)
Share-based payment expense, net of income tax benefits	$	2,756	$	2,503	$	5,517	$	6,648

Earnings per share impact of share-based payment expense:
Basic	$	0.10	$	0.09	$	0.20	$	0.24
Diluted	$	0.10	$	0.09	$	0.20	$	0.24

- 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 + Details