Stock-Based Compensation (Tables)

12 Months Ended

Dec. 31, 2022

Stock-Based Compensation

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

					As of December 31, 2022
					Options Outstanding				Options Exercisable
					Number Outstanding	Weighted- Average Remaining Contractual Life	Weighted- Average Exercise Price		Number Exercisable	Weighted- Average Remaining Contractual Life	Weighted- Average Exercise Price
$	10.01	-	$	20.00	8,896,986	9.48	$	19.90	2,160,717	9.46	$	19.94
$	20.01	-	$	30.00	102,131	5.78	$	26.36	69,617	5.21	$	25.90
$	30.01	-	$	40.00	834,715	1.90	$	36.05	204,406	3.76	$	34.68
$	40.01	-	$	50.00	70,376	3.24	$	47.16	20,200	1.41	$	47.43
$	50.01	-	$	60.00	855,626	3.85	$	57.79	—	—	$	—
$	60.01	-	$	70.00	290,500	3.31	$	63.96	1,000	—	$	63.90
$	10.01	-	$	70.00	11,050,334	8.23	$	25.45	2,455,940	8.80	$	21.58

Schedule of stock option activity associated with employees

	For the Years Ended December 31,
	2022			2021			2020
	Options	Weighted- Average Exercise Price		Options	Weighted- Average Exercise Price		Options	Weighted- Average Exercise Price
Total options outstanding, beginning of period (1)	8,834,045	$	42.15	10,183,615	$	41.99	12,792,812	$	41.52
Granted (2)	12,718,689	$	23.48	956,500	$	40.55	1,112,500	$	31.21
Exercised	(16,600)	$	27.72	(667,179)	$	33.87	(109,195)	$	28.53
Forfeited, cancelled and transferred (2)(3)	(10,485,800)	$	37.13	(1,638,891)	$	43.59	(3,612,502)	$	37.41
Total options outstanding, end of period	11,050,334	$	25.45	8,834,045	$	42.15	10,183,615	$	41.99
Performance-based options outstanding, end of period (4)	3,810,483	$	34.77	3,021,629	$	45.35	4,096,749	$	44.44
Exercisable at end of period	2,455,940	$	21.58	3,612,931	$	41.64	3,760,431	$	41.30

(1) The beginning of period weighted-average exercise price for the year ended December 31, 2022 of $42.15 does not reflect the Exchange Offer, which occurred subsequent to December 31, 2021.

(2) Includes approximately 9 million stock options granted and cancelled in connection with the Exchange Offer.

(3) Certain of these stock options include options that were granted to individuals who transferred to and/or from another DISH Network subsidiary not a part of DISH DBS.

(4) These stock options are included in the caption “Total options outstanding, end of period.” See discussion of the 2013 LTIP, 2017 LTIP, 2019 LTIP and Other Employee Performance Awards below.

Schedule of realized tax benefits from stock awards exercised

	For the Years Ended December 31,
	2022		2021		2020
	(In thousands)
Tax benefit from stock awards exercised	$	206	$	3,815	$	3,361

Schedule of aggregate intrinsic value of stock options associated with employees

	As of December 31, 2022
	Options		Options
	Outstanding		Exercisable
	(In thousands)
Aggregate intrinsic value	$	11	$	1

Schedule of restricted stock unit activity

	For the Years Ended December 31,
	2022			2021			2020
	Restricted Stock Units/Awards		Weighted- Average Grant Date Fair Value	Restricted Stock Units/Awards		Weighted- Average Grant Date Fair Value	Restricted Stock Units/Awards		Weighted- Average Grant Date Fair Value
Total restricted stock units/awards outstanding, beginning of period	1,130,066	$	35.26	1,550,245	$	34.70	1,463,650	$	50.82
Granted	120,187	$	29.67	53,877	$	42.40	1,470,505	$	32.92
Vested (1)	(39,535)	$	28.92	(7,035)	$	60.76	(697,660)	$	63.81
Forfeited, cancelled and transferred (2)	(130,360)	$	31.41	(467,021)	$	33.84	(686,250)	$	35.14
Total restricted stock units/awards outstanding, end of period	1,080,358	$	35.33	1,130,066	$	35.26	1,550,245	$	34.70
Restricted Performance Units/Awards outstanding, end of period (3)	944,800	$	35.37	1,078,425	$	34.91	1,543,750	$	34.58

(1) This change in 2020 resulted from certain Other Employee Performance Awards that vested during the third quarter of 2020.

(2) Certain of these restricted stock units/awards include restricted stock units/awards that were granted to individuals who transferred to and/or from another DISH Network subsidiary not a part of DISH DBS.

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

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

	For the Years Ended December 31,
Non-Cash, Stock-Based Compensation Expense Recognized (1)	2022		2021		2020
	(In thousands)
2022 Incentive Plan	$	15,024	$	—	$	—
2019 LTIP		(131)		370		12,526
2013 LTIP		—		(10,550)		(741)
Other employee performance awards		3,711		7,827		4,370
Total non-cash, stock-based compensation expense recognized for performance-based awards	$	18,604	$	(2,353)	$	16,155

(1) “Non-Cash, Stock-Based Compensation Expense Recognized” includes actual forfeitures.

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

Estimated Remaining Non-Cash, Stock-Based Compensation Expense	2022 Incentive Plan		2019 LTIP		Other Employee Performance Awards
	(In thousands)
Expense estimated to be recognized during 2023	$	6,346	$	1,676	$	2,068
Estimated contingent expense in or subsequent to 2023		4,653		5,365		—
Total estimated remaining expense over the term of the plan	$	10,999	$	7,041	$	2,068

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

	As of December 31, 2022
Performance-Based Stock Options	Number of Awards	Weighted- Average Grant Price
2022 Incentive Plan	1,228,373	$	19.80
2019 LTIP	803,043	$	20.56
2017 LTIP	1,229,067	$	56.50
2013 LTIP (1)	550,000	$	40.38
Total	3,810,483	$	34.77
Restricted Performance Units/Awards
2013 LTIP	335,000
Other employee performance awards	609,800
Total	944,800

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

	For the Years Ended December 31,
	2022		2021		2020
	(In thousands)
Cost of services	$	5,817	$	4,170	$	7,194
Selling, general and administrative		34,915		7,660		23,477
Total non-cash, stock based compensation	$	40,732	$	11,830	$	30,671

Schedule of assumptions of Black-Scholes option valuation model

	For the Years Ended December 31,
Stock Options	2022							2021							2020
Risk-free interest rate		0.91	%	-		4.06	%		0.44	%	-		1.02	%		0.17	%	-		1.72	%
Volatility factor		44.00	%	-		53.60	%		40.62	%	-		43.48	%		28.91	%	-		48.08	%
Expected term of options in years		2.8		-		5.6			5.5		-		5.6			3.3		-		5.5
Fair value of options granted	$	6.53		-	$	14.17		$	12.46		-	$	18.23		$	5.50		-	$	12.10