Share-based Compensation (Notes)

3 Months Ended

Mar. 31, 2018

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

AK Holding’s Stock Incentive Plan (“SIP”) permits the granting of nonqualified stock option, restricted stock, performance share and restricted stock unit awards to our Directors, officers and other employees. We have estimated share-based compensation expense to be $9.4 for 2018. The first quarter information is presented below:



	Three Months Ended March 31,
Share-based Compensation Expense	2018		2017
Stock options	$	1.7	$	1.5
Restricted stock	1.9		1.9
Restricted stock units issued to Directors	0.3		0.4
Performance shares	0.5		0.4
Equity-based long-term performance plan	0.1		—
Total share-based compensation expense	$	4.5	$	4.2

We granted stock options on 842,000 shares during the three months ended March 31, 2018, with a weighted-average fair value of $3.51 per share of stock option. Options on 4,100 shares were exercised during the three months ended March 31, 2018.

We granted restricted stock awards of 521,100 shares during the three months ended March 31, 2018, at a weighted-average fair value of $6.56 per share. The total intrinsic value of restricted stock awards that vested (i.e., restrictions lapsed) during the three months ended March 31, 2018 was $3.1.

We granted performance share awards of 366,500 shares during the three months ended March 31, 2018, with a weighted-average fair value of $8.05 per share.

During the first quarter of 2018, in order to further align Management and stockholder interests, the Board of Directors changed how incentive compensation earned by executive officers under the long-term performance plan is paid so that 30% of the compensation earned will now be denominated in stock, instead of all being settled in cash as under prior long-term awards. As a result, starting with the three-year performance period beginning in 2018, the equity-based portion of the long-term performance plan is treated as share-based compensation with a performance condition.