On March 26, 2012, our board of directors approved, subject to shareholder approval at the Annual Meeting of Shareholders, an amendment to our Amended and Restated Incentive Compensation Plan (the “Incentive Plan”) increasing the number of shares authorized for issuance by 500,000 shares, to 2 million shares. Pursuant to the Incentive Plan, we can grant restricted stock, restricted stock units, stock options, and performance awards to team members, officers, directors, and contractors at any time prior to March 26, 2022. The shares available for future grants under the Incentive Plan totaled 331,206 as of March 31, 2012.

On March 26, 2012, the compensation committee of our board of directors approved an award of 310,000 restricted stock units and 190,000 shares of restricted stock to our Chief Executive Officer. The grant of the restricted stock units is subject to shareholder approval of the increase in the number of shares available for issuance under the Incentive Plan. The 310,000 restricted stock units and 90,000 shares of restricted stock are eligible to vest over a ten year period beginning in 2012 based on the cumulative improvement in our annual adjusted economic profit, a non-GAAP financial measure. The remaining 100,000 shares of restricted stock are eligible to vest in equal annual installments over a five year period beginning in 2022 based on the attainment of annual adjusted economic profit targets.

A summary of the restricted stock activity under the Incentive Plan for the three months ended March 31, 2012 and 2011 is presented below:

(In thousands)	Number of Shares
	For the Three Months Ended March 31,
Restricted Stock	2012		2011
Outstanding Beginning Balance	48		112
Granted	199		9
Vested	(37	)	(63	)
Forfeited	(1	)	(3	)
Outstanding Ending Balance	209		55

The grant-date fair value per share is estimated to equal the market price of our common stock on the date of grant. In addition to the 190,000 shares of restricted stock granted to our Chief Executive Officer in 2012, we grant time-based shares of restricted stock annually to team members based on attaining certain individual and company performance criteria as a part of our annual incentive compensation program. Based on the terms of individual restricted stock grant agreements, these time-based shares generally vest over a period of three to five years, based on continuous employment.

A summary of the restricted stock unit activity under the Incentive Plan for the three months ended March 31, 2012 and 2011 is presented below:

(In thousands, except per share data)	Nonvested			Vested			Total
Restricted Stock Units	Number of Restricted Stock Units	Weighted Average Grant-Date Fair Value Per Share		Number of Restricted Stock Units	Weighted Average Grant-Date Fair Value Per Share		Number of Restricted Stock Units
Outstanding as of December 31, 2011	348	$	24.06	428	$	22.14	776
Granted	313		106.32	–		–	313	(1)
Vested	(143)		21.48	143		21.48	–	(2)
Outstanding as of March 31, 2012	518	$	74.45	571	$	21.97	1,089


(In thousands, except per share data)	Nonvested			Vested			Total
Restricted Stock Units	Number of Restricted Stock Units	Weighted Average Grant-Date Fair Value Per Share		Number of Restricted Stock Units	Weighted Average Grant-Date Fair Value Per Share		Number of Restricted Stock Units
Outstanding as of December 31, 2010	521	$	19.99	270	$	22.94	791
Granted	5		62.20	–		–	5	(3)
Vested	(158)		20.99	158		20.99	–	(4)
Outstanding as of March 31, 2011	368	$	20.13	428	$	22.22	796

(1) The distribution date of vested restricted stock units is February 18, 2019 for 3 restricted stock units. For 310 restricted stock units, the vested restricted stock units will be distributed in equal installments on December 31, 2022, 2023, 2024, 2025 and 2026.

(2) The distribution date of vested restricted stock units is February 22, 2014 for 60 restricted stock units, February 22, 2016 for 77 restricted stock units and February 22, 2017 for 6 restricted stock units.

(3) The distribution date of vested restricted stock units is February 22, 2018.

(4) The distribution date of vested restricted stock units is February 22, 2014 for 60 restricted stock units, February 22, 2016 for 90 restricted stock units and February 22, 2017 for 8 restricted stock units.

Each restricted stock unit represents and has a value equal to one share of common stock. The grant-date fair value per share is estimated to equal the market price of our common stock on the date of grant. In addition to the 310,000 restricted stock units granted to our Chief Executive Officer in 2012, we grant performance-based restricted stock units to team members as part of our long-term incentive compensation program. These restricted stock units will be earned over a five-year period based upon the compounded annual growth rate in our adjusted economic profit, a non-GAAP financial measure.

Stock compensation expense consists of the following:

(In thousands)	For the Three Months Ended March 31,
	2012		2011
Restricted stock	$	221	$	216
Restricted stock units		601		375
Total	$	822	$	591

While the restricted stock units and shares of restricted stock are generally expected to vest in equal, annual installments over the corresponding requisite service periods of the grants, the related stock-based compensation expense is not recognized on a straight-line basis over the same periods. Each installment is accounted for as a separate award and as a result, the fair value of each installment is recognized as stock-based compensation expense on a straight-line basis over the related vesting period. The following table details how the expenses associated with restricted stock and restricted stock units, which are expected to be recognized over a weighted average period of 3.4 years, will be recorded assuming performance targets are achieved in the periods currently estimated:


(In thousands)
Year	Restricted Stock Units		Restricted Stock		Total Projected Expense (pre-tax)
Remainder of 2012	$	7,557	$	2,993	$	10,550
2013		8,036		3,258		11,294
2014		5,881		2,549		8,430
2015		4,615		2,125		6,740
2016		3,415		1,797		5,212
Thereafter		6,439		8,552		14,991
Total	$	35,943	$	21,274	$	57,217