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Stock-Based Compensation
6 Months Ended
Jun. 30, 2014
Stock-Based Compensation [Abstract]  
Stock-Based Compensation

(3) Stock-Based Compensation 

 

The Company calculates the fair value of stock-based awards granted to employees and directors on the date of grant and recognizes the calculated fair value, net of estimated forfeitures, as compensation expense over the requisite service periods of the related awards. The following table reflects the total stock-based compensation expense amounts included in the Company's Consolidated Statements of Operations for the periods indicated:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

Six Months Ended

 

 

June 30,

 

June 30,

 

 

2014

 

2013

 

2014

 

2013

 

 

(In thousands)

Cost of ATM operating revenues 

 

$ 

353 

 

$ 

207 

 

$ 

567 

 

$ 

412 

Selling, general, and administrative expenses 

 

 

3,346 

 

 

2,372 

 

 

6,350 

 

 

5,332 

Total stock-based compensation expense 

 

$ 

3,699 

 

$ 

2,579 

 

$ 

6,917 

 

$ 

5,744 

 

All grants during the periods above were made under the Company's Amended and Restated 2007 Stock Incentive Plan (the "2007 Stock Incentive Plan").

 

Restricted Stock Awards.  The number of the Company's outstanding Restricted Stock Awards (“RSAs”) as of June 30, 2014, and changes during the six months ended June 30, 2014, are presented below:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Number of Shares

 

Weighted Average Grant Date Fair Value

RSAs outstanding as of January 1, 2014

 

 

375,498 

 

$

18.42 

Granted 

 

 

 —

 

$

 —

Vested 

 

 

(218,999)

 

$

14.00 

Forfeited

 

 

(15,664)

 

$

27.28 

RSAs outstanding as of June 30, 2014

 

 

140,835 

 

$

24.32 

 

As of June 30, 2014, the unrecognized compensation expense associated with all outstanding RSAs was approximately $2.1 million, which will be recognized on a straight-line basis over a remaining weighted-average vesting period of approximately 2.1 years.

 

Restricted Stock Units.  In the first quarter of each year since 2011, the Company granted restricted stock units (“RSUs”) under its Long Term Incentive Plan ("LTIP"), which is an annual equity award program under the 2007 Stock Incentive Plan. The ultimate number of RSUs to be earned and outstanding are approved by the Compensation Committee of the Company's Board of Directors (the "Committee") on an annual basis, and are based on the Company's achievement of certain performance levels during the calendar year of its grant. The majority of these grants have both a performance-based and a service-based vesting schedule (“Performance-RSUs”), and the Company recognizes the related compensation expense based on the estimated performance levels that management believes will ultimately be met. Starting with the grants made in 2013, a portion of the awards have a service-based vesting schedule only (“Time-RSUs”), for which the associated expense is recognized ratably over four years. Performance-RSUs and Time-RSUs are convertible into the Company’s common stock after the passage of the vesting periods, which are 24, 36, and 48 months from January 31 of the grant year, at the rate of 50%, 25%, and 25%, respectively. Performance-RSUs will be earned only if the Company achieves certain performance levels. Although the RSUs are not considered to be earned and outstanding until at least the minimum performance metrics are met, the Company recognizes the related compensation expense over the requisite service period (or to an employee’s qualified retirement date, if earlier) using a graded vesting methodology. RSUs are also granted outside of the LTIP, with or without performance-based vesting requirements, in accordance with the terms of the 2007 Stock Incentive Plan.

The number of the Company's non-vested RSUs as of June 30, 2014, and changes during the six months ended June 30, 2014, are presented below:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Number of Units

 

Weighted Average Grant Date Fair Value

Non-vested RSUs as of January 1, 2014

 

 

733,235 

 

$

25.26 

Granted 

 

 

398,697 

 

$

31.75 

Vested 

 

 

(253,412)

 

$

21.72 

Forfeited

 

 

(46,187)

 

$

26.16 

Non-vested RSUs as of June 30, 2014

 

 

832,333 

 

$

29.40 

 

The above table only includes earned RSUs; therefore, the Performance-RSUs granted in 2014 but not yet earned are not included, but the Time-RSUs are included as granted.

 

As of June 30, 2014, the unrecognized compensation expense associated with earned RSUs was approximately $12.4 million, which will be recognized using a graded vesting schedule for Performance-RSUs and a straight-line vesting schedule for Time-RSUs, over a remaining weighted-average vesting period of approximately 2.28 years. 

 

Options.  The number of the Company's outstanding stock options as of  June 30, 2014, and changes during the six months ended June 30, 2014, are presented below: 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Number of Shares

 

Weighted Average Exercise Price

Options outstanding as of January 1, 2014

 

 

280,175 

 

$ 

9.66 

Exercised 

 

 

(16,100)

 

$ 

8.71 

Forfeited

 

 

 —

 

$

 —

Options outstanding as of June 30, 2014

 

 

264,075 

 

$ 

9.71 

 

 

 

 

 

 

 

Options vested and exercisable as of June 30, 2014

 

 

264,075 

 

$ 

9.71 

 

As of June 30, 2014, the Company had no unrecognized compensation expense associated with outstanding options.