LONG-TERM INCENTIVE EMPLOYEE COMPENSATION

9 Months Ended

Oct. 02, 2021

Share-based Payment Arrangement [Abstract]

LONG-TERM INCENTIVE EMPLOYEE COMPENSATION

Our long-term incentive plan (LTIP) costs are primarily recorded within general and administrative expenses in our Consolidated Condensed Statements of Operations. The following table summarizes our LTIP costs.


	Three Months Ended				Nine Months Ended
	October 2, 2021		September 26, 2020		October 2, 2021		September 26, 2020
Equity-based awards	$	4.4	$	3.9	$	11.8	$	9.7
Liability-based awards	0.2		0.3		1.3		0.2
Total share-based compensation expense	$	4.6	$	4.2	$	13.1	$	9.9

The increase in share-based compensation expense for equity-based awards during the three- and nine-month periods was primarily driven by the likelihood of achieving certain performance targets. The increase in share-based compensation expense for liability-based awards during the nine-month period was driven by the change in ITT’s stock price. At October 2, 2021, there was $23.8 of total unrecognized compensation cost related to non-vested equity awards. This cost is expected to be recognized ratably over a weighted-average period of 1.9 years. Additionally, unrecognized compensation cost related to liability-based awards was $1.8, which is expected to be recognized ratably over a weighted-average period of 2.0 years.

Year-to-Date 2021 LTIP Activity

The majority of our LTIP awards are granted during the first quarter of each year and vest on the completion of a three-year service period. During the nine months ended October 2, 2021, we granted the following LTIP awards as provided in the table below:


	# of Awards Granted	Weighted Average Grant Date Fair Value Per Share

Restricted stock units (RSUs)	0.2		$	85.84
Performance stock units (PSUs)	0.1		$	84.48

During the nine months ended October 2, 2021 and September 26, 2020, a nominal amount of non-qualified stock options were exercised resulting in proceeds of $1.1 and $1.7, respectively. During the nine months ended October 2, 2021 and September 26, 2020, RSUs of 0.1 and 0.3, respectively, vested and were issued. During the nine months ended October 2, 2021 and September 26, 2020, PSUs of 0.2 that vested on December 31, 2020 and 2019, respectively, were issued.