Share-Based Compensation

9 Months Ended

Sep. 29, 2012

Share-Based Compensation

Note 3 – Share-Based Compensation

The table below summarizes the share-based compensation expense for the three and nine months ended September 29, 2012 and October 1, 2011. This share-based compensation expense was recorded in selling, general and administrative expenses in our Consolidated Statements of Operations. As used below: (i) “Performance-based RSUs” mean restricted share units with performance-based vesting granted under the Company’s 2010 Equity Incentive Plan (the “2010 Equity Incentive Plan”), (ii) “Time-based RSUs” mean restricted share units with time-based vesting granted under the 2010 Equity Incentive Plan, and (iii) “Stock options” mean non-qualified stock options granted under the 2010 Equity Incentive Plan and the Restated 1986 Common Share Option Plan (the “1986 Option Plan”).

	For the Three Months Ended					For the Nine Months Ended
(in millions of U.S. dollars)	September 29, 2012		October 1, 2011			September 29, 2012		October 1, 2011
Stock options	$	0.1	$	—		$	0.3	$	—
Directors’ share awards		—		—			0.7		0.7
Performance-based RSUs		0.2		(2.7	)		0.4		(1.2	)
Time-based RSUs		1.0		1.1			2.1		2.7
Total	$	1.3	$	(1.6	)	$	3.5	$	2.2

As of September 29, 2012, the unrecognized share-based compensation expense and years we expect to recognize the future compensation expense were as follows:

(in millions of U.S. dollars, except years)	Unrecognized share-based compensation expense as of September 29, 2012		Weighted average years expected to recognize compensation
Stock options	$	1.1		2.3
Performance-based RSUs		1.6		2.3
Time-based RSUs		3.3		1.7
Total	$	6.0

Stock option activity for the nine months ended September 29, 2012 was as follows:

	Shares (in  thousands)			Weighted average exercise price (Canadian $)
Balance at December 31, 2011		284		$	20.47
Awarded		385			6.47
Forfeited or expired		(201	)		24.40
Outstanding at September 29, 2012		468		$	7.28
Exercisable at September 29, 2012		125		$	9.49

During the nine months ended September 29, 2012, Performance-based RSU and Time-based RSU activity was as follows:

(in thousands of shares)	Number of Performance-based RSUs			Number of Time-based RSUs
Balance at December 31, 2011		2,319			1,548
Awarded		331			442
Forfeited		(267	)		(221	)
Outstanding at September 29, 2012		2,383			1,769

Stock options awarded during the nine months ended September 29, 2012 were granted under the 2010 Equity Incentive Plan. Stock options outstanding at December 31, 2011 were granted under the 1986 Option Plan. The Board of Directors terminated the 1986 Option Plan effective as of February 23, 2011. In connection with the termination of the 1986 Option Plan, outstanding options will continue in accordance with the terms of the 1986 Option Plan until exercised, forfeited or terminated, as applicable. No further awards will be granted under the 1986 Option Plan.

Average Canadian to U.S. Dollar Exchange Rate for the Nine Months Ended September 29, 2012

The weighted average exercise prices for options in Note 3 are disclosed in Canadian dollars. The table below represents the average Canadian dollar to U.S. dollar exchange rate for the nine months ended September 29, 2012:

	For the Nine Months Ended
	September 29, 2012
Average exchange rate	$	0.999