LONG-TERM INCENTIVE EMPLOYEE COMPENSATION

6 Months Ended

Jun. 30, 2016

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

LONG-TERM INCENTIVE EMPLOYEE COMPENSATION

Our long-term incentive plan (LTIP) costs are primarily recorded within general and administrative expenses. The following table provides the components of LTIP costs for the three and six months ended June 30, 2016 and 2015.



	Three Months				Six Months
For the Periods Ended June 30	2016		2015		2016		2015
Equity based awards	$	3.0	$	3.8	$	5.9	$	6.9
Liability-based awards	0.3		0.7		0.8		0.9
Total share-based compensation expense	$	3.3	$	4.5	$	6.7	$	7.8

As of June 30, 2016, there was estimated unrecognized compensation cost of $29.0 related to unvested equity-based awards that is expected to be recognized ratably over a weighted-average period of 2.0 years, and $3.0 related to unvested liability-based awards that are expected to be recognized ratably over a weighted-average period of 2.2 years.

Year-to-Date 2016 LTIP Activity

The majority of our LTIP activity occurs during the first quarter of each year. During the six months ended June 30, 2016, we granted the following LTIP awards as provided in the table below:



	# of Awards Granted	Weighted Average Grant Date Fair Value Per Share
Non-qualified stock options (NQOs)	0.4		$	9.16
Restricted stock units (RSUs)	0.3		$	33.28
Performance stock units (PSUs)	0.2		$	33.27

The NQOs vest either on the completion of a three-year service period or annually in three equal installments, as determined by employee level, and have a ten-year expiration period. RSUs and PSUs vest on the completion of a three-year service period.

During the six months ended June 30, 2016 and 2015, 0.4 and 0.3 NQOs were exercised resulting in proceeds of $8.8 and $5.3, respectively. RSUs of 0.3 and 0.2 vested and were issued during the six months ended June 30, 2016 and 2015, respectively. In addition, PSUs of 0.2 were issued during the six months ended June 30, 2016 that vested on December 31, 2015.

The fair value of each NQO grant was estimated on the date of grant using a binomial lattice pricing model that incorporates multiple and variable assumptions over time, including assumptions such as employee exercise patterns, stock price volatility and changes in dividends. The following table details the weighted average assumptions used to measure fair value and the resulting grant date fair value for the first quarter 2016 NQO grants.



Dividend yield	1.5%
Expected volatility	32.2%
Expected life	6.0 years
Risk-free rates	1.5%
Weighted average grant date fair value per share	$9.16