Stock-Based Compensation (Tables)

9 Months Ended

Sep. 30, 2013

Share-based compensation

Schedule of stock awards outstanding

	As of September 30, 2013
	DISH Network Awards		EchoStar Awards
Stock Awards Outstanding	Stock Options	Restricted Stock Units	Stock Options	Restricted Stock Units
Held by DISH Network employees	13,238,936	1,892,331	607,361	44,954
Held by EchoStar employees	1,315,415	76,999	N/A	N/A
Total	14,554,351	1,969,330	607,361	44,954

Schedule of stock option activity

	For the Nine Months
	Ended September 30, 2013
	Options		Weighted- Average Exercise Price
Total options outstanding, beginning of period (1)	16,399,870		$	19.04
Granted	2,206,500		$	36.68
Exercised	(3,941,219	)	$	16.06
Forfeited and cancelled	(110,800	)	$	28.02
Total options outstanding, end of period	14,554,351		$	21.60
Performance-based options outstanding, end of period (2)	7,805,500		$	24.03
Exercisable at end of period	4,812,350		$	17.00

(1) The beginning of period weighted-average exercise price of $19.04 does not reflect the 2012 Stock Option Adjustment, which occurred subsequent to December 31, 2012.

(2) These stock options are included in the caption “Total options outstanding, end of period.”  See discussion of the 2005 LTIP, 2013 LTIP and Other Employee Performance Awards below.

Schedule of realized tax benefits from stock awards exercised

	For the Three Months				For the Nine Months
	Ended September 30,				Ended September 30,
	2013		2012		2013		2012
	(In thousands)
Tax benefit from stock awards exercised	$	16,889	$	3,366	$	33,986	$	15,313

Schedule of aggregate intrinsic value of stock options outstanding and exercisable

	As of September 30, 2013
	Options Outstanding		Options Exercisable
	(In thousands)
Aggregate intrinsic value	$	340,769	$	134,797

Schedule of restricted stock unit activity

	For the Nine Months
	Ended September 30, 2013
	Restricted Stock Units		Weighted- Average Grant Date Fair Value
Total restricted stock units outstanding, beginning of period	1,185,080		$	22.99
Granted	985,000		$	36.48
Vested	(135,250	)	$	29.19
Forfeited and cancelled	(65,500	)	$	30.51
Total restricted stock units outstanding, end of period	1,969,330		$	29.06
Restricted Performance Units outstanding, end of period (1)	1,969,330		$	29.06

(1) These Restricted Performance Units are included in the caption “Total restricted stock units outstanding, end of period.”  See discussion of the 2005 LTIP, 2013 LTIP and Other Employee Performance Awards below.

Schedule of non-cash, stock-based compensation expense recognized

	For the Three Months				For the Nine Months
	Ended September 30,				Ended September 30,
Non-Cash, Stock-Based Compensation Expense Recognized	2013		2012		2013		2012
	(In thousands)
2008 LTIP	$	—	$	2,515	$	3,071	$	10,694
2013 LTIP	6,567		—		6,567		—
Other employee performance awards	1,186		1,279		4,049		5,851
Total non-cash, stock-based compensation expense recognized for performance-based awards	$	7,753	$	3,794	$	13,687	$	16,545

Schedule of awards outstanding pursuant to performance-based stock incentive plans

	As of September 30, 2013
	Number of Awards	Weighted- Average Exercise Price
Performance-Based Stock Options
2005 LTIP	3,200,500	$	20.33
2013 LTIP	1,935,000	$	36.48
Other employee performance awards	2,670,000	$	19.46
Total	7,805,500	$	24.03
Restricted Performance Units
2005 LTIP	301,830
2013 LTIP	967,500
Other employee performance awards	700,000
Total	1,969,330

Schedule of allocated non-cash, stock-based compensation expense for all employees

	For the Three Months				For the Nine Months
	Ended September 30,				Ended September 30,
	2013		2012		2013		2012
	(In thousands)
Subscriber-related	$	941	$	312	$	1,610	$	1,506
General and administrative	9,808		6,446		24,501		35,451
Total non-cash, stock-based compensation	$	10,749	$	6,758	$	26,111	$	36,957

Schedule of assumptions of Black-Scholes option valuation model

	For the Three Months		For the Nine Months
	Ended September 30,		Ended September 30,
Stock Options	2013(1)	2012 (2)	2013	2012
Risk-free interest rate	N/A	0.78%	0.91% - 1.93%	0.41% - 1.29%
Volatility factor	N/A	38.90%	32.37% - 39.87%	33.15% - 39.34%
Expected term of options in years	N/A	5.8	5.7 - 10.0	3.1 - 5.9
Weighted-average fair value of options granted	N/A	$11.44	$14.49 - $16.85	$6.72 - $12.69

(1)  During the three months ended September 30, 2013, there were no stock options granted.

(2)  During the three months ended September 30, 2012, all stock options granted had the same vesting period.

LTIP 2005

Share-based compensation

Schedule of unrecognized non-cash, stock-based compensation expense

	2005 LTIP
	Total		Vested Portion (1)
	(In thousands)
DISH Network awards held by DISH Network employees	$	36,924	$	35,205
EchoStar awards held by DISH Network employees	6,372		6,183
Total	$	43,296	$	41,388

(1) Represents the amount of this award that has met the foregoing vesting schedule and would therefore vest upon achievement of the performance condition.

LTIP 2008, LTIP 2013 and Other

Share-based compensation

Schedule of unrecognized non-cash, stock-based compensation expense

Estimated Remaining Non-Cash, Stock-Based Compensation Expense	2013 LTIP		Other Employee Performance Awards
	(In thousands)
Remaining expense estimated to be recognized during 2013	$	2,234	$	231
Estimated contingent expense subsequent to 2013	58,223		41,929
Total estimated remaining expense over the term of the plan	$	60,457	$	42,160