XML 44 R28.htm IDEA: XBRL DOCUMENT
v3.22.0.1

Stock-Based Compensation | 12 Months Ended
--- | ---
Dec. 31, 2021
Share-based Payment Arrangement [Abstract] |
Share-Based Compensation | (18) Stock-Based Compensation The Company maintains the 2004 Restricted Stock Plan, as amended, for Non-Employee Directors and the 2015 Incentive Plan of 3D Systems Corporation. The 2015 Incentive Plan was amended and restated in May 2020 to, among other things, increase the number of shares reserved for issuance by 4,860 shares (as amended and restated, the “2015 Plan”). The 2015 Plan authorizes the granting of shares of restricted stock, RSUs, stock appreciation rights, cash incentive awards and the grant of options to purchase shares of our common stock. The 2015 Plan also designates measures that may be used for performance awards and market-based awards. The Director Plan authorizes shares of restricted stock for our non-employee directors. The vesting period for awards under the Stock Plans is generally determined by the Board at the date of the grant and generally the awards vest one third each year over 3 years. Stock-based compensation expense is included in selling, general and administrative expenses in the consolidated statements of operations and comprehensive income (loss). The following table details the components of stock-based compensation expense recognized in net earnings in each of the past three years:
|  | Year Ended December 31,
(in thousands) |  | 2021 |  | 2020 |  | 2019
Total stock-based compensation expense |  | $ | 55,153 |  |  | $ | 17,725 |  |  | $ | 23,587 |
Included in the above expense for 2021 is $22,057 pertaining to the annual incentive compensation awards that will be paid in company shares of which a $1,914 liability was reduced and recorded as part of the divestiture gains. Additionally, the above expense includes $683 related to the Volumetric contingent milestone payments as discussed in Note 3. Restricted Stock We determine the fair value of restricted stock and RSUs based on the closing price of our stock on the date of grant. We generally recognize compensation expense related to restricted stock and RSUs on a straight-line basis over the vesting period. Forfeitures are recognized in the period in which they occur. A summary of restricted stock and RSU activity for the year ended December 31, 2021 follows:
(in thousands, except per share amounts) |  | Number of Shares/Units |  | Weighted Average Grant Date Fair Value
Outstanding at beginning of year — unvested |  | 3,540 |  |  | $ | 8.81 |
Granted |  | 2,547 |  |  | 29.30 |
Canceled |  | (462) |  |  | 18.17 |
Vested |  | (1,645) |  |  | 11.68 |
Outstanding at end of year — unvested |  | 3,980 |  |  | $ | 19.72 |
Included in the outstanding balance above are 606 shares of restricted stock that vest under specified market conditions and 747 shares of restricted stock that vest under specified Company performance measures. Awards with specified market conditions were awarded to certain employees in 2016, 2020 and 2021. The fair value for awards with market conditions is determined using a binomial lattice Monte Carlo simulation model and is expensed ratably over any implicit or explicit service period regardless if the market condition is probable of achievement or not. Stock compensation expense is not reversed if the market condition is not met. We recognize forfeitures when they occur. The fair value of performance-based awards are recognized on the grant date and expensed ratably over any implicit or explicit service period when the performance condition is deemed probable of achievement. Stock compensation recorded for performance shares is reversed when the performance condition is no longer deemed probable of achievement. Some RSUs are granted with a performance measure derived from non-GAAP-based management targets or based on non-financial metrics. Depending on our performance with respect to these metrics, the number of RSUs earned may be less than, equal to or greater than the original number of RSUs awarded, subject to a payout range. On December 1, 2021, we issued Performance Share Units (PSUs) to employees of Volumetric as part of the acquisition agreement. Vesting of these shares is based on four non-financial milestones that involve various medical achievements. These awards were divided into four tranches, one tranche per milestone, and compensation expense is recognized only when a milestone is probable of achievement. As of December 31, 2021 one of the four milestones was deemed probable of achievement and the company recorded $81 of expense in 2021 related to these awards. At December 31, 2021, there was $60,612 of unrecognized stock-based compensation expense related to all non-vested restricted stock award shares and units, which we expect to recognize over a weighted-average period of 2.8 years. Stock Options During the year ended December 31, 2016, we awarded certain employees market condition stock options under the 2015 Plan, included in the activity above, that vest under specified market conditions. Each employee was generally awarded two equal tranches of market condition stock options that immediately vest when our common stock trades at either $30 or $40 per share for ninety consecutive calendar days. We recognize compensation expense related to stock options on a straight-line basis over the derived term of the awards. Forfeitures are recognized in the period in which they occur. The fair value of stock options with market conditions is estimated using a binomial lattice Monte Carlo simulation model. Expense for awards with a market condition are not reversed if the market condition is not met. Stock option activity for the year ended December 31, 2021 was as follows:
|  | Year Ended December 31, 2021
(in thousands, except per share amounts) |  | Number of Shares |  | Weighted Average Exercise |  | Weighted Average Remaining Contractual Term (in years) |  | Aggregate Intrinsic Value (in thousands)
Stock option activity: |  |  |  |  |  |  |  |
Outstanding at beginning of year |  | 420 |  |  | $ | 13.26 |  |  | 5.7 |  | $ | — |
Granted |  | — |  |  | — |  |  | — |  |  | — |
Exercised |  | — |  |  | — |  |  | — |  |  | — |
Forfeited and expired |  | — |  |  | — |  |  | — |  |  | — |
Outstanding at end of year |  | 420 |  |  | $ | 13.26 |  |  | 4.7 |  | $ | 3,479 |
In the table above, intrinsic value is calculated as the excess, if any, between the market price of our stock on the last trading day of the year and the exercise price of the options. At December 31, 2021, there was no unrecognized pre-tax stock-based compensation expense related to stock options.

X
- Definition The entire disclosure for share-based payment arrangement. + 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 + Details
Name: | us-gaap_DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types: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