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Equity-Based Compensation (Tables)
3 Months Ended
Mar. 29, 2013
Schedule Of Assumptions Used To Calculate Weighted Average Fair Value Of Stock Option Grants

The following table summarizes the assumptions used to compute the weighted average fair value of stock option grants:

 

     3/30/12  

Expected volatility

     43.3

Risk-free interest rate

     0.9

Expected term (in years)

     5.3   

Expected dividend yield

     2.0
Stock Option Activity

The following is a summary of stock option activity during 2013 as of March 29, 2013:

Shares Weighted
Average
Exercise
Price
Weighted
Average
Remaining
Contractual
Term (in years)
Aggregate
Intrinsic
Value

(in millions)

Outstanding – beginning of year

16,713,155 $ 7.50

Exercised

(320 ) $ 0.16

Forfeited/expired

(367,125 ) $ 7.34

Outstanding – end of period

16,345,710 $ 7.51 3.3 $

Exercisable – end of period

14,623,423 $ 7.82 2.7 $

Shares vested or expected to vest

16,239,399 $ 7.53 3.3 $
Cash-Settled Stock Appreciation Rights Activity

The following is a summary of cash-settled SARs activity during 2013 as of March 29, 2013:

Shares Weighted
Average
Exercise
Price

Outstanding – beginning of year

456,195 $ 6.67

Forfeited/expired

(10,500 ) $ 5.83

Outstanding – end of period

445,695 $ 6.69

Restricted Stock Unit Activity

The following is a summary of restricted stock activity during 2013 as of March 29, 2013:

Shares Weighted
Average
Grant Date
Fair Value

Non-vested – beginning of year

3,899,865 $ 4.68

Granted

202,278 $ 2.09

Vested

(1,011,590 ) $ 4.68

Forfeited

(162,642 ) $ 4.71

Non-vested – end of period

2,927,911 $ 4.49

Performance Stock Unit Activity

The following is a summary of PSU activity during 2013 as of March 29, 2013:

Shares Weighted
Average
Grant Date
Fair Value

Non-vested – beginning of year

1,633,866 $ 4.40

Granted

5,282,045 $ 2.20

Vested

(941,843 ) $ 4.60

Forfeited

(131,839 ) $ 4.26

Non-vested – end of period

5,842,229 $ 2.38

Equity-Based Compensation Expense

The following table sets forth the total equity-based compensation expense resulting from stock options, SARs, restricted stock, and PSUs by line item on the Statements of Operations:

 

     First Quarter  
     3/29/13     3/30/12  

Cost of revenue – products

   $ 0.2      $ 0.4   

Cost of revenue – services

     0.4        0.5   

Research and development

     0.6        1.8   

Sales and marketing

     0.5        0.9   

General and administrative

     1.4        2.0   
  

 

 

   

 

 

 

Equity-based compensation expense before income taxes

     3.1        5.6   

Income tax benefit

     (0.1     (0.1
  

 

 

   

 

 

 

Total equity-based compensation expense after income taxes

   $ 3.0      $ 5.5   
  

 

 

   

 

 

 
Total Equity-Based Compensation Expense by Type

The following table sets forth the total equity-based compensation expense by type:

First Quarter
3/29/13 3/30/12

Stock options

$ 0.6 $ 1.1

Cash-settled SARs

0.1

Restricted stock

2.1 3.4

Performance stock units

0.4 1.0

Total

$ 3.1 $ 5.6