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Common Stock and Stock-Based Compensation (Notes)
6 Months Ended
Jun. 30, 2021
Stock-Based Compensation [Abstract]  
Stock-Based Compensation Common Stock and Stock-Based Compensation
In early August 2021, our Board of Directors authorized a new stock repurchase program for up to $250 million, which supersedes our previous stock repurchase program. Under such program, the Company may purchase shares of our common stock from time to time in the open market or privately negotiated transactions. The timing and exact amount of repurchases under the newly authorized repurchase program will be determined by the Company's management, and will be subject to our capital allocation strategy, market conditions and other factors. The Company is not obligated to acquire any shares under the new program, and the program may be suspended or discontinued at any time. Under our previous common stock repurchase programs, no shares were repurchased during the six months ended June 30, 2021, while 1,461,177 shares of our common stock were repurchased for an aggregate purchase price of $26.5 million during the six months ended June 30, 2020.
We recognized $5.1 million and $2.9 million in compensation expense related to stock awards issued under the Rent-A-Center 2016 Long-Term Incentive Plan (the “2016 Plan”) during the three months ended June 30, 2021 and 2020, and $9.4 million and $5.9 million during the six months ended June 30, 2021 and 2020. During the six months ended June 30, 2021, we granted approximately 97,000 stock options, 240,000 market-based performance units and 145,000 time-vesting units under the 2016 Plan. The stock options granted were valued using a Black-Scholes pricing model with the following assumptions: an expected volatility of 47.54% to 53.21%, a risk-free interest rate of 0.21% to 1.08%, an expected dividend yield of 2.15% to 3.24%, and an expected term of 3.50 to 5.75 years. The weighted-average exercise price of the options granted during the six months ended June 30, 2021 was $44.84 and the weighted-average grant-date fair value was $14.94. Performance-based restricted stock units are valued using a Monte Carlo simulation. Time-vesting restricted stock units are valued based on our
closing stock price on the trading day immediately preceding the date of the grant, or as of the date of modification in the event an award is modified. The weighted-average grant date fair value of the market-based performance and time-vesting restricted stock units granted during the six months ended June 30, 2020 was $98.49 and $60.54, respectively.
As described in Note 2, Aggregate Stock Consideration issued to the former owners of Acima Holdings included 10,779,923 of common shares valued at $51.14 per share, as of the date of closing. Of this total, 2,683,328 common shares were included in the aggregate purchase price of the transaction for financial reporting purposes, while 8,096,595 common shares, valued at $414.1 million, issued under restricted stock agreements and subject to vesting conditions, will be recognized as stock compensation expense over the vesting term in accordance with ASC Topic 718, “Stock-based Compensation”. We recognized $34.4 million and $50.3 million in stock compensation expense related to these restricted stock agreements during the three and six months ended June 30, 2021, which was recorded to Other charges in our Condensed Consolidated Statements of Operations, as described in Note 10.