Share-Based Compensation Plans

3 Months Ended

Mar. 31, 2015

Share-Based Compensation Plans

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

In the first quarter of 2015, the Corporation granted 453,862 nonqualified stock options with a total grant-date fair value of $8.5 million, 886,452 stock unit awards with a total grant-date fair value of $62.2 million, and 272,319 performance stock units with a total grant-date fair value of $19.1 million. Stock unit award compensation expense for the three months ended March 31, 2015 and 2014 includes $1.5 million and $1.4 million, respectively, attributable to restricted stock units which vested in full and were expensed in their entirety upon their date of grant. Compensation expense for the three months ended March 31, 2015 and 2014 includes $4.3 million and $3.0 million, respectively, attributable to stock options granted to retirement-eligible employees that were expensed in their entirety on their date of grant.

Total compensation expense for share-based payment arrangements and the associated tax impacts were as follows for the three months ended March 31, 2015, and 2014.

Table 50: Total Compensation Expense for Share-Based Payment Arrangements

	Three Months Ended March 31,
(In Millions)	2015		2014
Restricted Stock Unit Awards	$	13.5	$	14.1
Stock Options		6.0		6.4
Performance Stock Units		3.4		2.6
Total Share-Based Compensation Expense		22.9		23.1
Tax Benefits Recognized	$	8.6	$	8.7