Stock-Based Compensation

6 Months Ended

Jun. 30, 2012

Stock-Based Compensation [Abstract]

Stock-Based Compensation

Note 8. Stock-Based Compensation

Stock-based compensation expense from continuing operations related to stock options, performance units (“PUs”), restricted stock units (“RSUs”) and restricted stock was $8.6 million and $19.4 million for the three and six months ended June 30, 2012, respectively, and $8.3 million and $19.3 million for the three and six months ended July 2, 2011, respectively. This expense was included in “Marketing, general and administrative expense” in the unaudited Consolidated Statements of Income.

In February and April 2012, the Company granted its annual stock-based compensation awards to eligible employees and non-employee directors, respectively. Awards granted to retirement-eligible employees vest in full upon retirement; awards to these employees are accounted for as though the awards were fully vested at the date of grant.

As of June 30, 2012, the Company had approximately $79 million of unrecognized compensation expense from continuing operations related to unvested stock options, PUs, RSUs and restricted stock granted under the Company’s plans. The unrecognized compensation expense is expected to be recognized over the remaining weighted-average requisite service period of approximately two years for stock options, PUs, and RSUs, and two months for restricted stock.