STOCK-BASED COMPENSATION

3 Months Ended

Mar. 31, 2013

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION

Performance Share Units

Performance Share Units (“PSUs”) represent hypothetical shares of the Company’s common stock. The PSUs vest (if at all) based upon the achievement of certain performance goals and other criteria at various periods through 2015. The Company granted PSUs in 2012 and 2013. The performance goals for the two-year cumulative period for the 2013 targets were finalized in the first quarter of 2013 for all grants, which established the measurement date for accounting purposes of the PSUs. All PSUs vest at various periods through 2015 and all PSUs that vest will be paid out in cash based upon the price of the Company’s stock. The Company recorded compensation expense of $2.9 million related to the PSUs for the quarter ended March 31, 2013 and no expense for the quarter ended March 31, 2012. The related liability was $2.9 million and accrued in “accounts payable and other accrued liabilities” in the accompanying balance sheet at March 31, 2013.

The following table summarizes PSU activity for the quarter ended March 31, 2013:

	Units
	(in thousands)
Balance, January 1, 2013	627
Granted	170
Vested and Paid	—
Forfeited	—
Balance, March 31, 2013	797

Restricted Share Units

Restricted Share Units (“RSUs”) represent hypothetical shares of the Company’s common stock. The holders of RSUs have no rights as stockholders with respect to the shares of the Company’s common stock to which the awards relate. Some of the RSUs require the achievement of certain performance goals and other criteria in order to vest. All RSUs vest at various periods through 2016 and all RSUs that vest will be paid out in cash based upon the price of the Company’s stock. The Company recorded compensation expense of $3.0 million and $1.0 million related to the RSUs for the quarter ended March 31, 2013 and March 31, 2012, respectively. The RSUs are classified as a liability by the Company. The related liability, accrued in “accounts payable and other accrued liabilities” in the accompanying balance sheet, at March 31, 2013 and December 31, 2012 was $10.2 million and $7.2 million, respectively.

The following table summarizes RSU activity for the quarter ended March 31, 2013:

	Units
	(in thousands)
Balance, January 1, 2013	604
Granted	92
Vested and Paid	—
Forfeited	(1	)
Balance, March 31, 2013	695