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Stock-Based Compensation
 6 Months Ended
Jun. 30, 2016
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Stock-Based Compensation
Stock-Based Compensation
The Company recognized the following stock-based compensation expense in direct operating expense and sales, general and administrative expense:
 
Three Months Ended June 30,
 
Six Months Ended June 30,
(In millions)
2016
 
2015
 
2016
 
2015
Stock options
$
0.3

 
$
0.8

 
$
0.7

 
$
1.3

Stock appreciation rights
(0.4
)
 
—

 
—

 
—

Restricted stock units
2.8

 
1.0

 
7.5

 
2.2

Performance-based restricted stock units
2.5

 
12.8

 
4.1

 
13.4

Cash-settled performance-based restricted stock units
3.4

 
—

 
8.2

 
—

Warrants
—

 
8.5

 
—

 
8.5

Total stock-based compensation expense
$
8.6

 
$
23.1

 
$
20.5

 
$
25.4


On June 30, 2016, the Company granted 338,164 performance-based restricted stock units ("PRSU") at a fair value of $26.26 per unit. The awards contain both a service and performance condition, with a three year vesting period and awards vesting based on the achievement of certain targets with respect to the Company's financial performance for specified periods.
The Company did not realize any excess tax benefit for tax deductions from the stock-based compensation plan in the three- and six-month periods ended June 30, 2016 and 2015.
As of June 30, 2016, the Company had approximately $31.0 million of unrecognized compensation cost related to non-vested restricted stock unit ("RSU") and PRSU compensation that is anticipated to be recognized over a weighted-average period of approximately 3 years.
Cash-settled Performance-based Restricted Stock Units
In February 2016, the Company entered into Employment Agreements (the "Agreements") with its executive officers. The Agreements provide for cash-settled PRSU grants under the XPO Logistics Inc. Amended and Restated 2011 Omnibus Incentive Compensation Plan to each of the executive officers effective February 9, 2016. Twenty-five percent of the PRSUs vest and are settled in cash on each of the first four anniversaries of the grant, subject to the officers' continued employment through the applicable anniversary and achievement of certain performance targets for each tranche. Cash-settled PRSU awards are measured at fair value initially based on the closing price of the Company’s common stock at the date of grant and are required to be re-measured to fair value at each reporting date until settlement. Compensation expense for cash-settled PRSUs is recognized over the applicable performance periods based on the probability of achievement of the performance conditions and the closing price of the Company’s common stock at each balance sheet date. The cost of a probable cash-settled PRSU award is recorded as a liability until settled. At June 30, 2016, the Company had granted 2,486,912 cash-settled PRSUs at a weighted-average fair value of $22.92 and recognized accrued liabilities of $8.2 million using a weighted-average fair value per PRSU of $26.26.
As of June 30, 2016, the Company had approximately $57.1 million of unrecognized compensation cost related to non-vested cash-settled PRSU compensation that is anticipated to be recognized over a weighted-average period of approximately 3.5 years and will vary based on changes in the Company's common stock price and probability of achievement of performance targets in future periods.