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Share-Based and Other Deferred Compensation
3 Months Ended
Mar. 31, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Share-Based and Other Deferred Compensation
Share-Based and Other Deferred Compensation

Equity Grants
During the three months ended March 31, 2015, the Company granted employees 2,327 RSUs that are Service-based Awards. Service-based Awards granted during the three months ended March 31, 2015 had grant date fair values of $48.41 to $52.64 per share. During the three months ended March 31, 2015, 2,033 Service-based Awards vested and 9 Service-based Awards were forfeited.
Compensation expense related to Service-based Awards was $27,495 and $22,244 for the three months ended March 31, 2015 and 2014, respectively.

Deferred Cash Program
The Company's deferred compensation program provides participants the ability to elect to receive a portion of their deferred compensation in cash, which is indexed to a notional investment portfolio and vests ratably over four years and requires payment upon vesting. Compensation expense related to this deferred compensation program was $560 and $894 for the three months ended March 31, 2015 and 2014, respectively.

Acquisition-related LP Units

Equities business - In conjunction with the acquisition of the operating businesses of ISI in 2014, the Company issued Class E LP Units and Class G and H LP Interests which will be treated as compensation going forward. The Class E LP Units issued includes 710 vested Class E LP Units and an allocation of the value, attributed to post-combination service, of 710 Class E LP Units that were unvested and will vest ratably on October 31, 2015, 2016 and 2017 and become exchangeable once vested, subject to continued employment with the Company. The units will become exchangeable into Class A common shares of the Company subject to certain liquidated damages and continued employment provisions. Compensation expense related to Class E LP Units was $5,068 for the three months ended March 31, 2015.
The Company also issued 538 vested and 540 unvested Class G LP Interests in 2014, which will vest ratably on February 15, 2016, 2017 and 2018, and 2,044 vested and 2,051 unvested Class H LP Interests in 2014, which will vest ratably on February 15, 2018, 2019 and 2020. The Company’s vested Class G Interests will become exchangeable in February 2016, 2017 and 2018 if certain earnings before interest and taxes, excluding underwriting, ("Management Basis EBIT") margin thresholds, within a range of 12% to 16%, are achieved for the calendar year preceding the date the interests become exchangeable. The Company’s vested Class H Interests will become exchangeable in February 2018, 2019 and 2020 if certain average Management Basis EBIT and Management Basis EBIT margin thresholds, within ranges of $8,000 to $48,000 and 7% to 17%, respectively, are achieved for the three calendar years preceding the date the interests become exchangeable. The amount of Class H LP Interests which become exchangeable are scaled to the threshold levels achieved.
Based on Evercore ISI’s results for the first three months of 2015, the first full quarter of combined operations, and the anticipated impact of certain efficiency initiatives identified and executed during the first quarter of 2015, the Company determined that the achievement of certain of the performance thresholds for the Class G and H LP Interests was probable at March 31, 2015. This determination was based on an assumed Management Basis EBIT margin of 15% and annual Management Basis EBIT over the performance period of $31,500 for Evercore ISI. Accordingly, $20,143 of expense was recorded for the three months ended March 31, 2015 for the Class G and H Interests.

Other Acquisition Related
Lexicon - Compensation expense related to the Lexicon Acquisition-related Awards and deferred cash consideration was $615 and ($29), respectively, for the three months ended March 31, 2015, and $2,241 and $932, respectively, for the three months ended March 31, 2014.

Long-term Incentive Plan
The Company's Long-term Incentive Plan provides for incentive compensation awards to Advisory Senior Managing Directors, excluding executive officers of the Company, who exceed defined benchmark results over a four-year performance period beginning January 1, 2013. These awards will be paid, in cash or Class A Shares, at the Company's discretion, in the two years following the performance period, to Senior Managing Directors employed by the Company at the time of payment. These awards are subject to retirement eligibility requirements. The Company periodically assesses the probability of the benchmarks being achieved and expenses the probable payout over the requisite service period of the award. Compensation expense related to these awards was $1,513 and $1,111 for the three months ended March 31, 2015 and 2014, respectively
Other
Periodically, the Company provides new and existing employees with cash payments in the form of loans and/or other cash awards which are subject to ratable vesting terms with service requirements ranging from one to five years. Generally, the terms of these awards include a requirement of either full or partial repayment of these awards based on the terms of their employment agreements with the Company. In circumstances where the employee meets the Company's minimum credit standards, the Company amortizes these awards to compensation expense over the relevant service period which is generally the period they are subject to forfeiture. Compensation expense related to these awards was $4,580 and $2,647 for the three months ended March 31, 2015 and 2014, respectively. The remaining unamortized amount of these awards was $24,992 as of March 31, 2015.

The Company granted separation benefits to certain employees, resulting in expense included in Employee Compensation and Benefits of approximately $1,608 and $3,391 for the three months ended March 31, 2015 and 2014, respectively. In conjunction with these arrangements, the Company distributed cash payments of $1,210 and $2,481 for the three months ended March 31, 2015 and 2014, respectively. The Company also granted separation benefits to certain employees, resulting in expense included in Special Charges of approximately $1,965 for the three months ended March 31, 2015. See Note 4 for further information.