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Stock-Based Compensation (Tables)
12 Months Ended
Dec. 31, 2015
Stock-Based Compensation  
Schedule of stock awards outstanding

 

 

 

 

 

 

 

 

 

 

 

 

As of December 31, 2015

 

 

 

DISH Network Awards

 

EchoStar Awards

 

Stock Awards Outstanding

    

Stock
Options

    

Restricted
Stock
Units

    

Stock
Options

    

Restricted
Stock
Units

 

Held by DISH DBS employees

 

6,807,169

 

1,382,250

 

44,548

 

 —

 

 

 

 

 

 

 

 

 

 

 

 

Schedule of exercise prices for stock options outstanding and exercisable associated with employees

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Options Outstanding

 

Options Exercisable

 

 

 

    

 

 

    

Number
Outstanding
as of
December 31,
2015

    

Weighted-
Average
Remaining
Contractual
Life

    

Weighted-
Average
Exercise
Price

    

Number
Exercisable
as of
December 31,
2015

    

Weighted-
Average
Remaining
Contractual
Life

    

Weighted-
Average
Exercise
Price

 

$

 —

-

$

10.00

 

236,379

 

2.38

 

$

6.35

 

236,379

 

2.38

 

$

6.35

 

$

10.01

-

$

20.00

 

1,944,187

 

4.44

 

$

15.48

 

144,187

 

3.72

 

$

16.67

 

$

20.01

-

$

30.00

 

1,892,978

 

4.97

 

$

26.33

 

1,171,378

 

4.54

 

$

26.12

 

$

30.01

-

$

40.00

 

1,633,075

 

6.77

 

$

36.12

 

227,975

 

6.24

 

$

35.07

 

$

40.01

-

$

50.00

 

21,400

 

5.75

 

$

44.65

 

8,000

 

3.15

 

$

42.92

 

$

50.01

-

$

60.00

 

113,500

 

7.07

 

$

58.09

 

24,000

 

4.71

 

$

57.92

 

$

60.01

-

$

70.00

 

945,650

 

8.18

 

$

66.37

 

95,150

 

7.73

 

$

64.01

 

$

70.01

-

$

80.00

 

20,000

 

4.00

 

$

72.89

 

20,000

 

4.00

 

$

72.89

 

$

 —

-

$

80.00

 

6,807,169

 

5.64

 

$

31.17

 

1,927,069

 

4.56

 

$

26.87

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Schedule of stock option activity associated with employees

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the Years Ended December 31,

 

 

 

2015

 

2014

 

2013

 

 

    

Options

    

Weighted- Average Exercise Price

    

Options

    

Weighted- Average Exercise Price

    

Options

    

Weighted- Average Exercise Price

 

Total options outstanding, beginning of period (1)

    

10,214,344

 

$

25.29

 

11,938,090

 

$

22.49

 

13,018,490

 

$

18.99

 

Granted

 

452,000

 

$

69.11

 

667,750

 

$

63.23

 

2,225,500

 

$

36.75

 

Exercised

 

(1,731,975)

 

$

16.26

 

(2,233,496)

 

$

20.49

 

(3,172,900)

 

$

14.70

 

Forfeited and cancelled

 

(2,127,200)

 

$

23.12

 

(158,000)

 

$

41.84

 

(133,000)

 

$

30.25

 

Total options outstanding, end of period

 

6,807,169

 

$

31.17

 

10,214,344

 

$

25.29

 

11,938,090

 

$

22.49

 

Performance based options outstanding, end of period (2)

 

3,904,500

 

$

28.03

 

5,926,500

 

$

25.15

 

6,468,500

 

$

24.92

 

Exercisable at end of period

 

1,927,069

 

$

26.87

 

3,107,544

 

$

19.81

 

4,061,289

 

$

17.88

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1)

The beginning of period weighted-average exercise price for the year ended December 31, 2013 of $18.99 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, 2008 LTIP, 2013 LTIP and Other Employee Performance Awards below.

Schedule of realized tax benefits from stock awards exercised

 

 

 

 

 

 

 

 

 

 

 

 

 

For the Years Ended December 31,

 

 

    

2015

    

2014

    

2013

  

 

 

(In thousands)

 

Tax benefit from stock awards exercised

 

$

33,716

 

$

42,334

 

$

37,583

 

 

 

 

 

 

 

 

 

 

 

 

 

Schedule of aggregate intrinsic value of stock options associated with employees

 

 

 

 

 

 

 

 

 

 

As of December 31, 2015

 

 

 

Options

 

Options

 

 

    

Outstanding

    

Exercisable

  

 

 

(In thousands)

 

Aggregate intrinsic value

 

$

186,144

 

$

59,395

 

 

 

 

 

 

 

 

 

 

Schedule of restricted stock unit activity associated with employees

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the Years Ended December 31,

 

 

 

2015

 

2014

 

2013

 

 

    

Restricted
Stock
Awards

    

 

Weighted- Average Grant Date Fair Value

    

Restricted
Stock
Awards

    

 

Weighted- Average Grant Date Fair Value

    

Restricted
Stock
Awards

    

 

Weighted- Average Grant Date Fair Value

  

Total restricted stock units outstanding, beginning of period

 

1,731,332

 

$

32.60

 

1,863,165

 

$

29.27

 

1,076,748

 

$

22.82

 

Granted

 

62,530

 

$

68.79

 

316,500

 

$

63.57

 

990,000

 

$

36.53

 

Vested

 

(125,280)

 

$

63.92

 

(278,000)

 

$

45.04

 

(135,250)

 

$

29.19

 

Forfeited and cancelled

 

(286,332)

 

$

29.67

 

(170,333)

 

$

33.43

 

(68,333)

 

$

32.91

 

Total restricted stock units outstanding, end of period (1)

 

1,382,250

 

$

32.01

 

1,731,332

 

$

32.60

 

1,863,165

 

$

29.27

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1)

All restricted stock units outstanding are Restricted Performance Units.  See discussion of the 2005 LTIP, 2008 LTIP, 2013 LTIP and Other Employee Performance Awards below.

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

 

 

 

 

 

 

 

 

 

As of December 31, 2015

 

Performance Based Stock Options

    

Number of
Awards

    

Weighted-
Average
Exercise
Price

  

2013 LTIP

 

1,564,500

 

$

42.63

 

Other employee performance awards

 

2,340,000

 

$

18.27

 

Total

 

3,904,500

 

$

28.03

 

 

 

 

 

 

 

 

Restricted Performance Units

 

 

 

 

 

 

2013 LTIP

 

782,250

 

 

 

 

Other employee performance awards

 

600,000

 

 

 

 

Total

 

1,382,250

 

 

 

 

 

 

 

 

 

 

 

 

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

 

 

 

 

 

 

 

 

 

 

 

 

 

For the Years Ended December 31,

 

 

    

2015

    

2014

    

2013

  

 

 

(In thousands)

 

Subscriber-related

 

$

2,164

 

$

1,859

 

$

1,947

 

General and administrative

 

 

17,035

 

 

32,165

 

 

27,700

 

Total non-cash, stock based compensation

 

$

19,199

 

$

34,024

 

$

29,647

 

 

 

 

 

 

 

 

 

 

 

 

 

Schedule of assumptions of Black-Scholes option valuation model

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the Years Ended December 31,

 

Stock Options

    

2015

    

2014

    

2013

  

Risk-free interest rate

 

 

1.40

%  

 - 

 

2.19

%  

 

 

1.80

%  

 - 

 

2.84

%  

 

 

0.91

%  

 - 

 

2.66

%

 

Volatility factor

 

 

26.42

%  

 - 

 

36.22

%  

 

 

28.53

%  

 - 

 

38.62

%  

 

 

32.37

%  

 - 

 

39.87

%

 

Expected term of options in years

 

 

5.5

 

 - 

 

7.8

 

 

 

5.5

 

 - 

 

9.0

 

 

 

5.6

 

 - 

 

10.0

 

 

Weighted-average fair value of options granted

 

$

16.14

 

 - 

$

29.73

 

 

$

19.08

 

 - 

$

29.20

 

 

$

14.49

 

 - 

$

21.09

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LTIP 2008, LTIP 2013 and Other  
Stock-Based Compensation  
Schedule of unrecognized non-cash, stock-based compensation expense

 

 

 

 

 

 

 

 

 

 

 

 

 

For the Years Ended December 31,

 

Non-Cash, Stock-Based Compensation Expense Recognized

    

2015

    

2014

    

2013

  

 

 

(In thousands)

 

2008 LTIP

 

$

 —

 

$

 —

 

$

2,719

 

2013 LTIP

 

 

10,157

 

 

12,361

 

 

8,137

 

Other employee performance awards

 

 

1,694

 

 

14,095

 

 

4,045

 

Total non-cash, stock-based compensation expense recognized for performance based awards

 

$

11,851

 

$

26,456

 

$

14,901

 

 

 

 

 

 

 

 

 

 

 

 

 

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

 

 

 

 

 

 

 

 

Estimated Remaining Non-Cash, Stock-Based Compensation Expense

    

2013 LTIP

    

Other Employee Performance Awards

  

 

 

(In thousands)

 

Expense estimated to be recognized during 2016

 

$

7,112

 

$

 —

 

Estimated contingent expense subsequent to 2016

 

 

39,218

 

 

36,087

 

Total estimated remaining expense over the term of the plan

 

$

46,330

 

$

36,087