Accounting for Stock-Based Compensation

9 Months Ended

Feb. 28, 2019

Accounting for Stock-Based Compensation

Accounting for Stock-Based Compensation

Note 4 – Accounting for Stock-Based Compensation

Restricted Stock

In the three-month period ended August 31, 2018, as part of our annual long-term stock incentive compensation, we granted 43,680 shares of performance-based restricted stock and 38,760 shares of time-based restricted stock to eligible employees.  The grant date fair value per share for these shares was $48.09 (the closing price on the grant date).  In June 2018, we also granted 29,128 shares of time-based restricted stock to members of the Board of Directors with a grant date fair value per share of $45.32.

Expense charged to operations for restricted stock was $2.7 million and $2.0 million during the three-month periods ended February 28, 2019 and 2018, respectively, and $5.7 million and $4.9 million during the nine-month periods ended February 28, 2019 and 2018, respectively.

Stock Options

In the three-month period ended August 31, 2018, as part of our annual long-term stock incentive compensation, we granted 290,340 stock options to eligible employees at an exercise price per share of $48.09 and weighted average fair value of $13.67. 

The total intrinsic value of stock options exercised during the nine-month periods ended February 28, 2019 and 2018 was $12.0 million and $12.0 million, respectively.  Expense charged to operations for stock options was $1.0 million and $1.4 million during the three-month periods ended February 28, 2019 and 2018 , respectively, and $3.2 million and $3.8 million during the nine-month periods ended February 28, 2019 and 2018, respectively.