Share-based Compensation

9 Months Ended

Sep. 30, 2019

Share-based Payment Arrangement, Noncash Expense [Abstract]

Share-based Compensation

Share-based Compensation

During the nine months ended September 30, 2019, we granted 0.13 stock options and 0.09 restricted stock units, and 0.03 performance units. The total fair value of awards granted to employees during the nine months ended September 30, 2019 was $12.3. In addition, our non-employee directors received stock awards with a total fair value of $0.5. During the nine months ended September 30, 2019, participants in our stock option plans exercised options to purchase 0.29 shares of our common stock, while 0.03 stock options were forfeited.

Stock options generally have a four-year graded vesting period. Restricted stock and restricted stock units generally vest ratably over a three-year period. Performance units generally vest at the end of a three-year performance period based on the attainment of certain pre-determined performance condition targets. During the nine months ended September 30, 2019, 0.12 restricted stock units and 0.02 performance units vested while 0.02 restricted stock units were forfeited.

Share-based compensation expense was $2.1 and $0.5 for the three months ended September 30, 2019 and 2018, respectively. Share-based compensation expense was $6.4 and $3.5 for the nine months ended September 30, 2019 and 2018, respectively. Share-based compensation expense for the three and nine months ended September 30, 2018 included a $0.9 credit due to forfeitures related to headcount reductions associated with the strategic realignment of our segment structure in 2018. Furthermore, share-based compensation expense for the nine months ended September 30, 2018 included a $1.8 credit due to forfeitures related to the departure of our former Chief Executive Officer (“CEO”) on June 11, 2018. Share-based compensation expense is included in selling, general, and administrative expenses in the unaudited condensed consolidated statements of income and comprehensive income. As of September 30, 2019, total share-based compensation of $12.1 is expected to be recognized over the weighted-average period of approximately 2.1 years.