Columbia Sportswear 2011 Annual Report Download - page 69

COLUMBIA SPORTSWEAR COMPANY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
The following table summarizes stock option activity under the Plan:
Number of
Shares
Weighted
Average
Exercise
Price
Weighted
Average
Remaining
Contractual
Life
Aggregate
Intrinsic
Value (in
thousands)
Options outstanding at January 1, 2009 ..................... 1,653,639 $45.10 6.73 $ 1,042
Granted .............................................. 387,505 29.75
Cancelled ............................................ (252,303) 44.90
Exercised ............................................. (28,668) 24.76
Options outstanding at December 31, 2009 .................. 1,760,173 42.08 6.25 4,599
Granted .............................................. 385,924 44.11
Cancelled ............................................ (77,481) 46.04
Exercised ............................................. (196,402) 37.34
Options outstanding at December 31, 2010 .................. 1,872,214 42.84 6.33 33,057
Granted .............................................. 340,973 61.38
Cancelled ............................................ (40,396) 43.68
Exercised ............................................. (253,695) 43.32
Options outstanding at December 31, 2011 .................. 1,919,096 $46.05 6.25 $ 9,141
Options vested and expected to vest at December 31, 2011 ..... 1,857,797 $45.81 6.17 $ 8,994
Options exercisable at December 31, 2011 .................. 1,145,763 $44.24 4.83 $ 5,716
The aggregate intrinsic value in the table above represents pre-tax intrinsic value that would have been
realized if all options had been exercised on the last business day of the period indicated, based on the
Company’s closing stock price on that day.
Total stock option compensation expense for the years ended December 31, 2011, 2010 and 2009 was
$3,550,000, $3,348,000 and $2,861,000, respectively. At December 31, 2011, unrecognized costs related to stock
options totaled approximately $6,018,000, before any related tax benefit. The unrecognized costs related to stock
options are being amortized over the related vesting period using the straight-line attribution method.
Unrecognized costs related to stock options at December 31, 2011 are expected to be recognized over a weighted
average period of 2.33 years. The aggregate intrinsic value of stock options exercised was $4,906,000,
$2,854,000 and $333,000 for the years ended December 31, 2011, 2010 and 2009, respectively. The total cash
received as a result of stock option exercises for the years ended December 31, 2011, 2010 and 2009 was
$10,991,000, $7,333,000 and $710,000, respectively.
Restricted Stock Units
Service-based restricted stock units are granted at no cost to key employees, and shares granted prior to
2009 generally vest over three years from the date of grant. Service-based restricted stock units granted after
2008 generally vest over a period of four years. Performance-based restricted stock units are granted at no cost to
certain members of the Company’s senior executive team, excluding the Chairman and the President and Chief
Executive Officer. Performance-based restricted stock units granted prior to 2010 generally vest over a
performance period of between two and one-half and three years with an additional required service period of
one year. Performance-based restricted stock units granted after 2009 generally vest over a performance period of
between two and one-half and three years. Restricted stock units vest in accordance with the terms and conditions
established by the Compensation Committee of the Board of Directors, and are based on continued service and,
64