XML 37 R20.htm IDEA: XBRL DOCUMENT v3.22.0.1
Long-term Compensation Plans
 12 Months Ended
Dec. 31, 2021
Share-based Payment Arrangement [Abstract]  
LONG-TERM COMPENSATION PLANS LONG-TERM COMPENSATION PLANSIn June 2014, the Company's stockholders adopted the 2013 Plan, which is administered by the Compensation Committee of the Board of Directors of the Company, except as otherwise expressly provided in the 2013 Plan. The Board approved a maximum of 15,500,000 shares of common stock, which were reserved and made available for issuance under the 2013 Plan.
For 2021, 2020 and 2019, compensation expense associated with the Company's long-term compensation plans was as follows:
Year Ended December 31,
  (dollars in millions)
202120202019
Equity classified RSUs$39.6 $4.2 $12.6 
Liability classified RSUs— 0.9 (1.0)
Stock options0.5 0.9 0.2 
Compensation expense from continuing operations40.1 6.0 11.8 
Compensation expense from discontinued operations— — 0.6 
Total
$40.1 $6.0 $12.4 
Unrecognized compensation expense for awards expected to vest$22.1 
Weighted average remaining vesting period (months)7
At December 31, 2021, a total of 4,774,051 shares of common stock had been issued, and 4,589,005 RSUs and stock options were outstanding under the 2013 Plan.
TotalRSUsStock Options
Equity
Classified
Liability
Classified
Outstanding at December 31, 20204,939,688 4,197,010 177,058 565,620 
Granted852,890 852,890 — — 
Exercised/Issued (535,315)(363,268)— (172,047)
Cancelled(616,280)(439,222)(177,058)— 
Forfeited(51,978)(51,978)— — 
Outstanding at December 31, 20214,589,005 4,195,432 — 393,573 

The total fair value of RSUs which vested during 2021, 2020 and 2019 was $7.0 million, $9.7 million and $18.5 million respectively, based on vesting date stock price.
Equity Classified RSUs
The Company granted the following equity classified RSUs under the 2013 Plan:
Year of Issuance:RSUsWeighted Average Grant Date Fair ValueWeighted Average Vesting Period (months)
2021852,890 $18.02 28
20201,500,783 $11.45 32
20193,404,362 $11.14 44
Certain of the RSUs granted during the period contain performance vesting conditions in addition to a service vesting condition. RSUs granted with service or performance vesting conditions were valued at the grant date stock price. Certain RSUs with performance vesting conditions also contain provisions for additional share awards in the event certain performance conditions are met at the end of the applicable measurement periods. These conditions are generally based on Adjusted EBITDA and adjusted earnings per share.
In January 2019, certain key executives were granted performance-based RSUs with vesting that was subject to the achievement by the Company of a certain performance target in any fiscal year ending on or before December 31, 2022, and continuous service. There were 2.3 million of these RSUs outstanding at December 31, 2021 with a weighted-average grant date fair value of $25.1 million. Prior to the second quarter of 2021, the Company did not recognize compensation expense for these awards as the achievement of the performance target was not deemed probable. During the second quarter of 2021, the achievement of the performance target became probable and the Company recorded $23.9 million of expense for the year ended December 31, 2021 in "Selling, technical, general and administrative " in the Consolidated Statement of Operations.
At December 31, 2021, the following equity classified RSUs were outstanding:
December 31, 2021
Vesting Conditions:OutstandingWeighted Average Remaining Vesting Period (months)Potential Additional Awards
Service-based559,220 12.2— 
Performance-based1,372,574 14.7880,698 
Performance-based awards previously deemed not probable2,263,638 1.6— 
Total4,195,432 7.3880,698 
Subsequent Event
The January 2019 awards vested in February 2022 as the performance target was achieved and approximately 0.8 million shares were withheld to satisfy the tax obligations of the recipients due upon vesting.
In February 2022, certain key executives were granted 1.95 million performance-based RSUs with an aggregate fair value of $45.4 million. The vesting of these shares is subject to the achievement by the Company of a performance target of adjusted earnings per share of $2.72 by December 31, 2026, and continuous service. If the performance target is achieved, the actual number of shares vested will be determined by applying a total shareholder return (TSR) multiplier based on the Company's TSR relative to a benchmark index for the performance period. The TSR multiplier will range from 0.85 to 1.15. The achievement of this performance target is not probable at this time.
Stock Options
The Company granted the following qualified and non-qualified stock options under the 2013 Plan:
Year of Issuance:Stock OptionsWeighted Average Strike Price Per ShareWeighted Average Grant Date Fair Value Per Share
2020242,334 $12.25 $4.47 
2019229,724 $11.28 $5.15 
Stock options vest ratably over a three-year period and have contractual lives of ten years from the grant date.
The fair value of the grants is calculated using the Black-Scholes option pricing model at the grant date. The following table provides the range of assumptions used in valuing stock options for the years ended December 31, 2020 and 2019:
Year Ended December 31,
20202019
Weighted average expected term (years) (1)
6.06.0
Expected volatility (2)
35.5%44.2%
Risk-free rate (3)
1.45%2.48%
Expected dividend yield—%—%
(1) Weighted average expected term is calculated based on the simplified method for plain vanilla options.
(2) Expected volatility is calculated based on a blend of the implied and historical equity volatility of an index of comparable companies over a period equal to the expected term.
(3) Risk-free rate of return is based on an interpolation of U.S. Treasury rates to reflect an expected term of six years at the date of grant.
At December 31, 2021, there were no outstanding stock options which were vested and out-of-the-money. There were 237,376 outstanding stock options, which were vested and in-the-money, with an aggregate intrinsic value of $3.0 million, and 156,197 outstanding stock options, which were unvested, with an aggregate intrinsic value of $1.9 million.