XML 132 R39.htm IDEA: XBRL DOCUMENT

Common Shares and Share-Based Compensation (Tables) - Amended and Restated 2010 Incentive Plan

12 Months Ended

Dec. 31, 2019

Share Based Compensation Arrangement By Share Based Payment Award [Line Items]

Share-Based Compensation Expense Recorded In Operating Income

The table below summarizes share-based compensation expense recorded in operating income (in thousands):

	Year Ended December 31,
	2019		2018		2017
Selling, general and administrative	$	8,361	$	6,997	$	5,065
Research and development and engineering		497		438		221
Cost of revenue		482		211		207
Restructuring and acquisition related costs		—		68		—
Total share-based compensation expense	$	9,340	$	7,714	$	5,493

Restricted Stock Units and Deferred Stock Units Issued and Outstanding

The table below summarizes activities during 2019 relating to restricted and deferred stock units issued and outstanding under the Amended and Restated 2010 Incentive Plan:

	Restricted and Deferred Stock Units (In thousands)			Weighted Average Grant Date Fair Value		Weighted Average Remaining Vesting Period (in years)	Aggregate Intrinsic Value (1) (In thousands)
Unvested at December 31, 2018		529		$	26.98
Granted		139		$	77.37
Vested		(172	)	$	27.98
Forfeited		(43	)	$	49.20
Unvested at December 31, 2019		453		$	39.74	1.38 years	$	40,057
Expected to vest as of December 31, 2019		431		$	38.35	1.38 years	$	38,079

(1)

The aggregate intrinsic value is calculated based on the fair value of $88.44 per share of the Company’s common stock on December 31, 2019 due to the fact that the restricted stock units carry a $0 purchase price.

Performance-Based Stock Awards Issued and Outstanding

The table below summarizes activities during 2019 relating to performance-based stock awards issued and outstanding under the Company’s Amended and Restated 2010 Incentive Plan:

	Performance Stock Units (1) (in thousands)			Weighted Average Grant Date Fair Value		Weighted Average Remaining Vesting Period (in years)	Aggregate Intrinsic Value (2) (in thousands)
Unvested at December 31, 2018		137		$	37.28
Granted		47		$	92.14
Performance adjustment ⁽³⁾		29		$	14.13
Vested		(58	)	$	14.13
Forfeited		(3	)	$	79.26
Unvested at December 31, 2019		152		$	57.95	0.92 years	$	13,477
Expected to vest as of December 31, 2019		269		$	43.50	0.92 years	$	23,769

(1)

The unvested PSUs are shown in this table at target, except for the number of shares vested, which reflects the number of shares earned and expected to be issued. As of December 31, 2019, the maximum number of PSUs available to be earned was approximately 305 thousand.

(2)

The aggregate intrinsic value is calculated based on the fair value of $88.44 per share of the Company’s common stock on December 31, 2019 due to the fact that the performance stock units carry a $0 purchase price.

(3)

The amount shown represents performance adjustments for performance-based awards granted on March 30, 2016. These units vested at 200% during 2019 based on the achievement of cumulative Non-GAAP EPS during the performance period of fiscal years 2016 through 2018.

Schedule of Share Based Payment Award Performance Stock Awards Valuation Assumptions

The fair value of the TSR-PSUs at the date of grant was estimated using the Monte-Carlo valuation model with the following assumptions:

	Year Ended December 31, 2019
Grant-date stock price	$	77.23
Expected volatility		32.54	%
Risk-free interest rate		2.46	%
Expected annual dividend yield		—
Weighted average fair value	$	108.58

Stock Options Outstanding, Exercisable and Expected to Vest

The following table shows stock options that were outstanding, exercisable and expected to vest as of December 31, 2019 and the related weighted average exercise price, weighted average remaining contractual term and aggregate intrinsic value:

Number of Shares

(In thousands)

Weighted

Average Exercise Price

Weighted Average Remaining Contractual Term (years)

Aggregate

Intrinsic

Value (1)

(In thousands)

Stock options outstanding

14.13

6.25

5,407

Stock options exercisable

14.13

6.25

5,407

The aggregate intrinsic value is calculated as the difference between the closing market price of $88.44 per share of the Company’s common stock on December 31, 2019 and the exercise price of the stock options.