STOCK-BASED COMPENSATION

3 Months Ended

Mar. 31, 2014

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION

7. STOCK-BASED COMPENSATION

        The Company has several stock-based compensation programs. See the Annual Report on Form 10-K filed with the SEC on March 6, 2014—"Item 8. Financial Statements and Supplementary Data—Note 15, Stock-based compensation" for a discussion of these programs.

        The Company's Board of Directors approved performance criteria for the 2013 sub-tranche under the 2013 Equity Incentive Plan in respect of 637,800 RSUs with a weighted average per unit grant date fair value of $10.53. In the three months ended March 31, 2014, the Company recognized $0.5 million of expense attributable to these RSUs related to 2013 sub-tranche. The Company's Board of Directors has not yet determined performance criteria for the 2014 sub-tranche, but expects that such terms will be finalized by the end of the second quarter of 2014.

        The Company estimates that the total compensation expense related to awards approved under the 2013 Plan not yet recognized as of March 31, 2014 approximates $7.8 million, of which $7.3 million relates to RSUs for which performance criteria for 2014 and following years are not set, which is expected to be expensed over a weighted average period of 3.0 years. The Company expects to settle employee RSU exercises out of treasury stock. In March 2014, the Company's Board of Directors has agreed to grant additional equity awards of approximately 0.7 million shares of common stock in the form of RSU to its employees. The Compensation Committee of the Company's Board of Directors has not yet determined the vesting conditions of these awards, but expects that such terms will be finalized by the end of the second quarter of 2014. The grant date will be the date when the key terms of these awards are determined and agreed with employees.