Share-based Compensation

9 Months Ended

May 31, 2013

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

Share-based compensation

NOTE 12. SHARE-BASED COMPENSATION PLANS

Restricted stock units ("RSUs") and performance stock units ("PSUs") totaling 1.6 million and 0.5 million, respectively, were granted during the nine months ended May 31, 2013 and 2012, respectively, at a weighted-average fair value of $13.44 and $10.64, respectively. The Company granted 0.2 million and 0.8 million in stock appreciation rights ("SARs") at a weighted average exercise price of $14.25 and $11.63 during the nine months ended May 31, 2013 and 2012, respectively. The RSUs, PSUs and SARs granted during fiscal 2013 and 2012 will vest over a period of three years.

Total share-based compensation expense recognized as a component of selling, general and administrative expenses was $5.5 million and $13.5 million for the three and nine months ended May 31, 2013, respectively, and $3.2 million and $9.2 million for the three and nine months ended May 31, 2012, respectively.

Share-Based Liability Awards The Company granted 234,109 and 1,132,204 equivalent shares of cash-settled RSUs, PSUs and stock appreciation rights ("SARs") during the nine months ended May 31, 2013 and 2012, respectively. The PSUs vest upon the achievement of performance goals and objectives of the Company over the performance period. The RSUs and SARs vest over a three year period. The Company has accounted for these cash-settled awards as a liability and the value is adjusted to the current share price of CMC's common stock at each reporting period. As of May 31, 2013, the Company had 1,450,373 equivalent shares in awards outstanding. The Company expects 1,103,108 equivalent shares to vest.