Share-Based Compensation Plans

3 Months Ended

Mar. 31, 2013

Share-Based Compensation Plans

15. Share-Based Compensation Plans – The Amended and Restated Northern Trust Corporation 2012 Stock Plan provides for the grant of nonqualified stock options, incentive stock options, stock appreciation rights, stock awards, stock units, and performance stock units.

In the first quarter of 2013, the Corporation granted 446,868 nonqualified stock options with a total grant-date fair value of $5.5 million, 1,149,213 stock unit awards with a total grant-date fair value of $60.6 million, and 296,650 performance stock units with a total grant-date fair value of $15.6 million. Stock and stock unit award compensation expense for the three months ended March 31, 2013 and 2012 include $1.5 million and $2.3 million, respectively, attributable to restricted stock units which vested in full and were expensed in their entirety on their date of grant. Compensation expense for the three months ended March 31, 2013 and 2012 include $2.1 million and $5.3 million, respectively, attributable to stock options granted to retirement-eligible employees that were expensed in their entirety on the grant date. Total compensation expense for share-based payment arrangements and the associated tax impacts were as follows for the three months ended March 31, 2013 and 2012.

	Three Months Ended March 31,
(In Millions)	2013		2012
Stock and Stock Unit Awards	$	12.4	$	12.7
Stock Options		6.9		11.2
Performance Stock Units		1.2		0.3
Total Share-Based Compensation Expense		20.5		24.2
Tax Benefits Recognized	$	7.7	$	9.1