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Stock Plans
9 Months Ended
Sep. 30, 2011
Stock Plans [Abstract] 
STOCK PLANS

11. STOCK PLANS:

In addition to grants of stock options to its directors and employees, the Company’s 2006 Omnibus Incentive Plan (the “Plan”) permits the award of restricted stock and restricted stock units (“Restricted Stock Awards”). The fair value of Restricted Stock Awards is determined based on the market price of the Company’s stock at the date of grant. The Company generally records compensation expense equal to the fair value of each Restricted Stock Award granted over the vesting period.

During the nine months ended September 30, 2011, the Company granted 207,090 Restricted Stock Awards with time-based vesting and a weighted-average grant-date fair value of $33.36 per award. Additionally, the Company granted 67,400 performance-based Restricted Stock Awards to certain members of its management team which may vest in 2014. The number of awards that will ultimately vest will be based on Company performance relative to the annual budgets approved by the Company’s board of directors. The Company will not begin recognizing compensation cost for these awards until the fourth quarter of 2012 when the 2013 budget is approved and the key terms and conditions of the awards will be deemed to be established and a grant date will have occurred.

At September 30, 2011 and December 31, 2010, Restricted Stock Awards of 636,305 and 471,894 shares, respectively, were outstanding.

As further discussed in the Company’s Annual Report on Form 10-K as of and for the year ended December 31, 2010, on September 3, 2010, the Company and certain executives entered into amendments to certain long-term incentive plan (“LTIP”) restricted stock unit award agreements. As a result of these amendments, the Company recorded additional compensation cost of $2.5 million during the three months and nine months ended September 30, 2010.

The compensation cost that has been charged against pre-tax income for all of the Company’s stock-based compensation plans, including the additional compensation cost related to the amendments of the LTIP agreements, was $2.6 million and $4.4 million for the three months ended September 30, 2011 and 2010, respectively, and $7.4 million and $8.0 million for the nine months ended September 30, 2011 and 2010, respectively.