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Table of Contents
UNITED ONLINE, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
9. STOCK-BASED COMPENSATION PLANS (Continued)
Restricted Stock Units
The following table summarizes activity for restricted stock units during the years ended December 31, 2007, 2008 and 2009:
At December 31, 2009, the intrinsic value of outstanding restricted stock units was approximately $49.5 million. The fair value of restricted
stock units that vested during the year ended December 31, 2009 was approximately $18.5 million. Total unrecognized compensation cost
related to unvested restricted stock units at December 31, 2009, net of expected forfeitures, was approximately $35.6 million and was expected
to be recognized over a weighted-average period of 1.0 years.
At December 31, 2008, the intrinsic value of outstanding restricted stock units was approximately $42.0 million. The fair value of restricted
stock units that vested during the year ended December 31, 2008 was approximately $20.5 million.
Classmates Media Corporation Equity Awards
Certain employees of Classmates Media Corporation have employment agreements, which guarantee such employees the issuance of
0.5 million fully-vested shares to be issued over the period ending in August 2011. During the years ended December 31, 2009 and 2008,
0.1 million and 0.1 million, respectively, of these restricted stock units had been issued and 0.3 million and 0.4 million, respectively, were still
subject to issuance.
Recent Awards
Effective February 15, 2010, the Compensation Committee of the Board of Directors of United Online, Inc. (the "Compensation
Committee") approved grants of 1.0 million restricted stock units with a grant-date fair value equal to $6.5 million to certain members of the
Company's senior management. Each restricted stock unit entitles the recipient to receive one share of United Online Inc.'s common
F-32
Restricted
Stock Units
Outstanding
Weighted-
Average Grant
Date Fair Value
(in thousands)
Outstanding at January 1, 2007
2,840
$
11.08
Granted
3,922
$
13.94
Vested
(1,077
)
$
10.52
Canceled
(707
)
$
12.51
Outstanding at December 31,
2007
4,978
$
12.65
Granted
4,639
$
10.18
Vested
(1,942
)
$
12.49
Canceled
(760
)
$
12.44
Outstanding at December 31,
2008
6,915
$
11.49
Granted
3,356
$
6.09
Vested
(2,890
)
$
10.72
Canceled
(500
)
$
9.86
Outstanding at December 31,
2009
6,881
$
8.84