Stock-Based Compensation

6 Months Ended

Jun. 30, 2015

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

STOCK-BASED COMPENSATION (Entergy Corporation)

Entergy grants stock awards, which are described more fully in Note 12 to the financial statements in the Form 10-K. Awards under Entergy’s plans generally vest over three years.

Stock Options

Entergy granted 456,100 stock options during the first quarter 2015 with a weighted-average fair value of $11.41 per option. At June 30, 2015, there are 7,402,520 stock options outstanding with a weighted-average exercise price of $84.18. The intrinsic value, which has no effect on net income, of the outstanding stock options is calculated by the difference in the weighted average exercise price of the stock options granted and Entergy Corporation’s common stock price as of June 30, 2015. Because Entergy’s stock price at June 30, 2015 is less than the weighted average exercise price, the aggregate intrinsic value of the stock options outstanding as of June 30, 2015 is zero. The intrinsic value of “in the money” stock options is $8.1 million as of June 30, 2015.

The following table includes financial information for stock options for the three months ended June 30, 2015 and 2014:



	2015		2014
	(In Millions)
Compensation expense included in Entergy’s net income		$1.0		$0.8
Tax benefit recognized in Entergy’s net income		$0.4		$0.3
Compensation cost capitalized as part of fixed assets and inventory		$0.2		$0.1

The following table includes financial information for stock options for the six months ended June 30, 2015 and 2014:



	2015		2014
	(In Millions)
Compensation expense included in Entergy’s net income		$2.1		$2.1
Tax benefit recognized in Entergy’s net income		$0.8		$0.8
Compensation cost capitalized as part of fixed assets and inventory		$0.4		$0.3

Other Equity Plans

In January 2015 the Board approved and Entergy granted 292,750 restricted stock awards and 156,017 long-term incentive awards under the 2011 Equity Ownership and Long-term Cash Incentive Plan. The restricted stock awards were made effective as of January 29, 2015 and were valued at $89.90 per share, which was the closing price of Entergy’s common stock on that date. One-third of the restricted stock awards will vest upon each anniversary of the grant date. The long-term incentive awards are granted in the form of performance units, which are equal to the cash value of shares of Entergy Corporation at the end of the performance period, which is the last day of the year. The performance units were made effective as of January 29, 2015 and were valued at $99.02 per share. Entergy considers various factors, primarily market conditions, in determining the value of the performance units. Shares of the restricted stock awards have the same dividend and voting rights as other common stock, are considered issued and outstanding shares of Entergy upon vesting, and are expensed ratably over the 3-year vesting period. Shares of the performance units have the same dividend rights as other common stock, are considered issued and outstanding shares of Entergy upon vesting, and are expensed ratably over the 3-year vesting period.

The following table includes financial information for other equity plans for the three months ended June 30, 2015 and 2014:



	2015		2014
	(In Millions)
Compensation expense included in Entergy’s net income		$8.0		$7.7
Tax benefit recognized in Entergy’s net income		$3.1		$3.0
Compensation cost capitalized as part of fixed assets and inventory		$1.6		$1.2

The following table includes financial information for other equity plans for the six months ended June 30, 2015 and 2014:



	2015		2014
	(In Millions)
Compensation expense included in Entergy’s net income		$16.1		$15.1
Tax benefit recognized in Entergy’s net income		$6.2		$5.9
Compensation cost capitalized as part of fixed assets and inventory		$3.1		$2.3