Equity Awards (Tables)

9 Months Ended

Sep. 30, 2018

Schedule of restricted stock and restricted stock units activity


	Number of shares or units	Weighted- average Grant price
Balance, December 31, 2017	716,128	$	99.65
Grants	154,676		92.20
Awards assumed through acquisition of CEC	136,324		118.29
Vested shares	(226,371)		75.00
Forfeitures	(34,945)		89.13
Balance, September 30, 2018	745,812	$	114.38

Schedule of stock option activity and other stock option information


				Weighted-
				average
		Weighted-		remaining	Aggregate
	Number of	average		contractual	intrinsic value(1)
	shares	exercise price		life (years)	(in thousands)
Balance, December 31, 2017	100,000	$	51.95	3.1	$	3,763
Grants	—		—
Awards assumed through acquisition of CEC	319,846		66.98
Exercises	(138,186)		55.32
Forfeitures/Expirations	—		—
Balance, September 30, 2018	281,660	$	67.36	7.1	$	19,623
Exercisable, September 30, 2018	122,133	$	65.94	6.3	$	8,683

⁽¹⁾

The aggregate intrinsic value in the table above represents the total pre-tax intrinsic value (the difference between the Company’s closing stock price on the respective trading day and the exercise price, multiplied by the number of in-the-money options) that would have been received by the option holder had all options been exercised on the respective trading day. The amount of intrinsic value will change based on the fair market value of the Company’s common stock.

Schedule of stock-based compensation expense

The following table sets forth the amount of stock-based compensation expense recorded in each of the expense line items for the three and nine months ended September 30, 2017 and 2018 (in thousands):


	For the three months ended				For the nine months ended
	September 30,				September 30,
	2017		2018		2017		2018
Instruction and educational support	$	548	$	695	$	1,363	$	1,813
Marketing		—		278		—		278
Admissions advisory		—		8		—		8
General and administration		2,366		2,591		7,206		7,410
Merger costs		—		2,272		—		2,272
Stock-based compensation expense included in operating expense		2,914		5,844		8,569		11,781
Tax benefit		1,151		1,607		3,384		3,253
Stock-based compensation expense, net of tax	$	1,763	$	4,237	$	5,185	$	8,528