Share-Based Compensation (Tables)

3 Months Ended

Mar. 31, 2020

Share-based Payment Arrangement [Abstract]

Schedule of Stock-based Compensation Expense

The components of the Company’s shared-based compensation expense for the three months ended March 31, 2020 and 2019 are as follows:

	Three Months Ended March 31,
	2020		2019
	(in thousands)
Stock options	$	521	$	664
Restricted stock and restricted stock units	1,301		992
Employee Stock Purchase Plan	151		182
Total pre-tax share-based compensation expense charged against income1	$	1,973	$	1,838

1.Share-based compensation expense is recorded in cost of services and selling, general and administrative expense in the Company’s Consolidated Statements of Comprehensive Income.

Summary of Other Information of Stock Option Plans

A summary of stock options outstanding under the Plan as of December 31, 2019 and changes during the three months ended March 31, 2020 is as follows:

	Stock Options Outstanding
	Number of Shares	Weighted Average Exercise Price
	(in thousands)
December 31, 2019	2,107	$	32.99
Granted	210	$	24.43
Exercised	(92)	$	17.55
Forfeited	(9)	$	37.64
Expired	(12)	$	32.58
March 31, 2020	2,204	$	32.80

Assumption For Fair Value of Options Granted

The fair value of stock option awards granted in 2020 and 2019 was estimated on the date of grant using the Black-Scholes option valuation model with the following assumptions:

	Three Months Ended March 31,
	2020		2019
Risk-free interest rate	1.8	%	2.5	%
Weighted average expected life	6.6 years		5.7 years
Expected volatility	26.5	%	22.6	%
Dividend yield	3.2	%	1.9	%

Summarized Information of Stock Options Outstanding

The following table summarizes other information about the stock options at March 31, 2020:

	March 31, 2020
	(amounts in thousands, except per share data)
Outstanding:
Aggregate intrinsic value	$	1,340
Weighted average remaining contractual life	5.8 years
Exercisable:
Number of options	1,483
Weighted average exercise price	$	31.04
Aggregate intrinsic value	$	1,340
Weighted average remaining contractual life	4.6 years

Summary of Outstanding Restricted Stock Units and Restricted Stock

A summary of the outstanding restricted stock units and restricted stock as of December 31, 2019 and changes during the three months ended March 31, 2020 is as follows:

	Restricted Stock Units and Restricted Stock
	Number	Weighted Average Grant Date Fair Value
	(in thousands)
December 31, 2019	362	$	43.24
Granted	307	$	24.43
Vested	(93)	$	42.30
Forfeited	(8)	$	32.68
March 31, 2020	568	$	33.36

Options Granted Estimated Expense Valuation Assumptions

The expense associated with the options granted under the ESPP during the three months ended March 31, 2020 and 2019 was estimated on the date of grant using the Black-Scholes option valuation model with the following assumptions:

	Three Months Ended March 31,
	2020	2019
Risk-free interest rate	1.6%	2.6%
Weighted average expected life (years)	1.0	1.0
Expected volatility	42.0%	30.8%
Dividend yield	3.3%	1.9%

Summary of ESPP Annual Offerings

The following table summarizes information about the SERP during the three months ended March 31, 2020 and 2019:

	Three Months Ended March 31,
	2020		2019
	(in thousands)
SERP expense 1	$	170	$	169
Unrealized (loss) gain recorded in SERP liability account	$	(5,728)	$	3,418

1.Both the SERP match and the deferrals are included in the selling, general and administrative caption in the Consolidated Statements of Comprehensive Income.