The Company paid dividends of $2.88 per share in 2020 and currently intends to continue paying quarterly cash dividends. The declaration and payment of future dividends to holders of the Company’s common stock will be at the discretion of the Company’s Board of Directors and will depend upon many factors, including the Company’s financial condition, earnings, legal requirements, restrictions in its debt agreements (see Note 10) and other factors the Company’s Board of Directors deems relevant.

Non-employee directors may defer all or a portion of the fees payable for their service into deferred stock units, equivalent to the value of the Company’s common stock. Beginning in May 2020, the annual fees related to the director’s equity compensation were granted in deferred stock units or restricted stock units and vest at the next annual meeting. Additionally, as dividends are declared on the Company’s common stock, these deferred stock units are entitled to accrete dividends in the form of additional units based on the stock price on the dividend payment date. Accumulated deferred stock units are distributed in the form of Company common stock at a future specified date or following resignation from the Board of Directors, based upon the director’s annual election. During the years ended December 31, 2020, 2019 and 2018, members of the Board of Directors were credited with 42,313, 33,883 and 26,291 deferred stock units, respectively. During the year ended December 31, 2020, the directors were granted 3,750 restricted stock units. During the years ended December 31, 2020, 2019 and 2018, 8,525, 9,041 and 6,728 shares of common stock, respectively, were issued from treasury shares for director compensation.

The Company is authorized to issue up to 10,000,000 shares of preferred stock, of which no shares are currently issued or outstanding. Of those, 200,000 shares of preferred stock were designated as series A junior participating preferred stock in connection with the Company’s now expired rights agreement.

In 2005, the Company adopted the 2005 Incentive Award Plan (as amended, the “2005 Plan”), which authorized the issuance of 3,240,000 shares of Company common stock. In May 2015, the Company’s stockholders approved the 2015 Incentive Award Plan (as amended, the “2015 Plan”), which authorizes the issuance of 3,000,000 shares of Company common stock. Upon the approval of the 2015 Plan , the Company ceased issuing equity awards under the 2005 Plan. In May 2020, the Company’s stockholders approved the 2020 Incentive Award Plan (the “2020 Plan”), which authorizes the issuance of 2,977,933 shares of Company common stock. Since the date the 2020 Plan was approved, the Company ceased issuing equity awards under the 2015 Plan. The 2005 Plan, 2015 Plan and 2020 Plan allow for grants of equity awards to executive officers, other employees and directors, including shares of common stock, restricted stock units (“RSUs”), performance stock units (“PSUs”), stock options and deferred stock units.

Substantially all of the stock options granted under each of the plans vest ratably, in tranches, over a four-year service period. Unexercised options expire after seven years. Options do not have dividend or voting rights. Upon vesting, each option can be exercised to purchase one share of the Company’s common stock. The exercise price of options is equal to the closing stock price on the day of grant.

To estimate the fair value of options on the grant date, the Company uses the Black-Scholes option valuation model. Award recipients are grouped according to expected exercise behavior. Unless better information is available to estimate the expected term of the options, the estimate is based on historical exercise experience. The risk-free rate, using U.S. Treasury yield curves in effect at the time of grant, is selected based on the expected term of each group. The Company’s historical stock price is used to estimate expected volatility. The weighted average assumptions and fair values for options granted for each of the years ended December 31 is included in the following table.

Most of the RSUs granted under the 2015 Plan and 2020 Plan vest after one to three years of service entitling the holders to one share of common stock for each vested RSU. The unvested RSUs do not have voting rights but are entitled to receive non-forfeitable dividends (generally after a performance hurdle has been satisfied for the year of the grant) or other distributions that may be declared on the Company’s common stock equal to the per-share dividend declared. The closing stock price on the day of grant is used to determine the fair value of RSUs.

Substantially all of the PSUs granted under the 2015 Plan and 2020 Plan are either total stockholder return PSUs (the “TSR PSUs”), return on invested capital PSUs (the “ROIC PSUs”) or earnings before interest, taxes, depreciation and amortization growth PSUs (“EBITDA PSUs”). The actual number of shares of the Company’s common stock that may be earned with respect to TSR PSUs is calculated by comparing the Company’s total stockholder return to the total stockholder return for each company comprising the Company’s peer group over the three-year performance period and may range from 0% to 150% or 0% to 200% of the target number of shares based upon the attainment of these performance conditions. The actual number of shares of common stock that may be earned with respect to ROIC PSUs is calculated based on the average of the Company’s annual return on invested capital for each year in the three-year performance period and may range from 0% to 200% of the target number of shares based upon the attainment of these performance conditions. The actual number of shares of common stock that may be earned with respect to EBITDA PSUs is calculated based on the attainment of EBITDA growth during the performance period.

EBITDA PSUs granted in 2020 have a two-year performance period that begins in 2021 and ends in 2022. Generally, TSR PSUs granted in 2020 have a three-year performance period that begins in 2020 and ends in 2022. Both types of PSUs granted in 2020 vest in the first quarter of 2023. PSUs represent a target number of shares of Company common stock that may be earned before adjustment based upon the attainment of certain performance conditions. Holders of PSUs are entitled to receive non-forfeitable dividends or other distributions equal to those declared on the Company’s common stock for PSUs that are earned, which are paid when the shares underlying the PSUs are issued.

To estimate the fair value of the TSR PSUs on the grant date, the Company uses a Monte-Carlo simulation model, which simulates future stock prices of the Company as well as the companies peer group. This model uses historical stock prices to estimate expected volatility and the Company’s correlation to the peer group. The risk-free rate was determined using the same methodology as the option valuations as discussed above. The Company’s closing stock price on the grant date was used to estimate the fair value of the ROIC PSUs and EBITDA PSUs. The Company will adjust the expense of the ROIC PSUs and EBITDA PSUs based upon its estimate of the number of shares that will ultimately vest at each interim date during the vesting period.


	Stock Options			RSUs			PSUs
	Number	Weighted-average exercise price		Number	Weighted-average fair value		Number	Weighted-average fair value
Outstanding at December 31, 2017	562,877	$	75.89	70,856	$	74.63	112,036	$	79.48
Granted	250,514	59.61		42,013	60.28		67,235	64.30
Exercised(a)	—	—		—	—		—	—
Released from restriction(a)	—	—		(16,905)	88.78		(2,753)	78.92
Cancelled/Expired	(104,645)	71.65		(12,656)	66.53		(49,880)	85.51
Outstanding at December 31, 2018	708,746	$	70.76	83,308	$	65.75	126,638	$	69.06
Granted	369,716	54.15		218,071	49.73		123,003	56.88
Exercised(a)	—	—		—	—		—	—
Released from restriction(a)	—	—		(32,630)	66.95		—	—
Cancelled/Expired	(190,595)	69.06		(51,336)	54.87		(70,244)	67.20
Outstanding at December 31, 2019	887,867	$	64.21	217,413	$	52.07	179,397	$	61.43
Granted	94,945	58.91		95,276	58.24		107,072	74.73
Exercised(a)	(4,454)	57.02		—	—		—	—
Released from restriction(a)	—	—		(76,570)	50.03		(11,575)	78.87
Cancelled/Expired	(109,586)	69.00		(28,137)	51.85		(33,100)	68.18
Outstanding at December 31, 2020	868,772	$	63.06	207,982	$	55.68	241,794	$	65.57


	Options Outstanding				Options Exercisable
Range of exercise prices	Options outstanding	Weighted-average remaining contractual life (years)	Weighted-average exercise price of options outstanding		Options exercisable	Weighted-average remaining contractual life (years)	Weighted-average exercise price of exercisable options
$53.75 - $54.38	252,245	5.3	$	53.75	84,082	5.3	$	53.75
$54.39 - $59.21	159,424	5.7	57.01		18,836	5.2	55.01
$59.22 - $63.75	159,445	4.3	59.50		110,700	4.3	59.50
$63.76 - $69.77	119,357	3.1	68.03		104,796	3.0	68.01
$69.78 - $91.75	178,301	1.3	81.51		178,301	1.3	81.51
Totals	868,772	4.1	$	63.06	496,715	3.1	$	68.05

During the years ended December 31, 2020, 2019 and 2018, the Company recorded compensation expense of $9.9 million (includes $0.5 million paid in cash), $7.4 million (includes $1.1 million paid in cash) and $7.8 million, respectively, related to its stock-based compensation awards that are expected to vest. No amounts have been capitalized. The fair value of options vested was $1.4 million, $0.8 million and $2.7 million in 2020, 2019 and 2018, respectively.

The intrinsic value of stock options exercised during the years ended December 31, 2020, 2019 and 2018 each totaled less than $0.1 million. As of December 31, 2020, the intrinsic value of options outstanding totaled $3.1 million, of which 496,715 options with an intrinsic value of $1.0 million were exercisable. The number of shares held in treasury is sufficient to cover all outstanding equity awards as of December 31, 2020.

The Company’s comprehensive (loss) income is comprised of net earnings, net amortization of the unrealized loss of the pension obligation, the change in the unrealized gain (loss) on natural gas and foreign currency cash flow hedges, and foreign currency translation adjustments. The components of and changes in accumulated other comprehensive loss (“AOCL”) for the years ended December 31, 2020 and 2019 are as follows (in millions):


Year Ended December 31, 2020(a)	Gains and (Losses) on Cash Flow Hedges		Defined Benefit Pension		Foreign Currency		Total
Beginning balance	$	(0.6)	$	(6.9)	$	(184.6)	$	(192.1)
Other comprehensive income (loss) before reclassifications	3.9		(3.2)		(109.5)		(108.8)
Amounts reclassified from accumulated other comprehensive loss	(3.1)		0.7		—		(2.4)
Net current period other comprehensive income (loss)	0.8		(2.5)		(109.5)		(111.2)

Ending balance	$	0.2	$	(9.4)	$	(294.1)	$	(303.3)


Year Ended December 31, 2019(a)	Gains and (Losses) on Cash Flow Hedges		Defined Benefit Pension		Foreign Currency		Total
Beginning balance	$	(0.7)	$	(4.5)	$	(205.7)	$	(210.9)
Other comprehensive income (loss) before reclassifications	2.2		(2.7)		21.1		20.6
Amounts reclassified from accumulated other comprehensive loss	(2.1)		0.3		—		(1.8)
Net current period other comprehensive income (loss)	0.1		(2.4)		21.1		18.8

Ending balance	$	(0.6)	$	(6.9)	$	(184.6)	$	(192.1)


Year Ended December 31, 2020	Amount Reclassified from AOCL		Line Item Impacted in the Consolidated Statement of Operations
Losses on cash flow hedges:
Natural gas instruments	$	(1.0)	Product cost
Foreign currency contracts	(3.6)		Interest expense
Income tax expense	1.5
Reclassifications, net of income taxes	(3.1)
Amortization of defined benefit pension:
Amortization of loss	$	0.9	Product cost
Income tax benefit	(0.2)
Reclassifications, net of income taxes	0.7
Total reclassifications, net of income taxes	$	(2.4)