Accounting for Stock-Based Compensation

6 Months Ended

Nov. 30, 2017

Accounting for Stock-Based Compensation

Accounting for Stock-Based Compensation

Note 5 — Accounting for Stock-Based Compensation

Restricted Stock

In the three-month period ended August 31, 2017, as part of our annual long-term stock incentive compensation, we granted 98,750 shares of performance-based restricted stock and 24,425 shares of time-based restricted stock to eligible employees.  The grant date fair value per share for these shares was $35.26 (the closing price on the grant date).  In June 2017, we also granted 55,000 shares of time-based restricted stock to members of the Board of Directors with a grant date fair value per share of $34.95.

Expense charged to operations for restricted stock during the three-month periods ended November 30, 2017 and 2016 was $1.5 million and $1.3 million, respectively, and $2.9 million and $2.6 million during the six-month periods ended November 30, 2017 and 2016, respectively.

Stock Options

In the three-month period ended August 31, 2017, as part of our annual long-term stock incentive compensation, we granted 453,450 stock options to eligible employees at an exercise price per share of $35.26 and weighted average fair value of $9.27.

The total intrinsic value of stock options exercised during the six-month periods ended November 30, 2017 and 2016 was $6.5 million and $2.6 million, respectively.   Expense charged to operations for stock options during the three-month periods ended November 30, 2017 and 2016 was $1.3 million and $1.1 million, respectively, and $2.4 and $2.3 million during the six-month periods ended November 30, 2017 and 2016, respectively.