CompUSA 2010 Annual Report Download - page 94

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Reorganization
In 2010 the Company’ s WStore France subsidiary incurred integration related charges of approximately $3.7 million for
severances and other costs related to the merger of its Misco and WStore operations. These costs were recorded in selling, general
and administrative expenses within the Technology Products segment. Other costs totaling $0.3 million were recorded in selling,
general and administrative expenses within the Corporate and other segment. The Company anticipates incurring minimal
additional costs related to this integration.
The following table details the associated liabilities incurred related to this plan (in thousands):
Severance
and
Personnel
Costs Other Exit Costs Total
Balance January 1, 2010................ $ - $ - $ -
Charged to expense........................ 2,975 1,030 4,005
Paid or otherwise settled................ (1,923) (946) (2,869)
Balance December 31, 2010.......... $ 1,052 $ 84 $ 1,136
8. SHAREHOLDERS’ EQUITY
Stock based compensation plans
The Company currently has five equity compensation plans which reserve shares of common stock for issuance to key employees,
directors, consultants and advisors to the Company. The following is a description of these plans:
The 1995 Long-term Stock Incentive Plan - This plan, adopted in 1995, allowed the Company to issue qualified, non-qualified and
deferred compensation stock options, stock appreciation rights, restricted stock and restricted unit grants, performance unit grants
and other stock based awards authorized by the Compensation Committee of the Board of Directors. Options issued under this
plan expire ten years after the options are granted. The ability to grant new awards under this plan ended on December 31, 2005
but awards granted prior to such date continue until their expiration. A total of 510,326 options were outstanding under this plan
as of December 31, 2010.
The 1995 Stock Option Plan for Non-Employee Directors - This plan, adopted in 1995, provides for automatic awards of non-
qualified options to directors of the Company who are not employees of the Company or its affiliates. All options granted under
this plan will have a ten year term from grant date and are immediately exercisable. A maximum of 100,000 shares may be
granted for awards under this plan. The ability to grant new awards under this plan ended on October 12, 2006 but awards granted
prior to such date continue until their expiration. A total of 28,000 options were outstanding under this plan as of December 31,
2010.
The 1999 Long-term Stock Incentive Plan, as amended (“1999 Plan”) - This plan was adopted on October 25, 1999 with
substantially the same terms and provisions as the 1995 Long-term Stock Incentive Plan. The Company increased the number of
shares that may be granted under this plan to a maximum of 7,500,000 from 5,000,000 shares. The maximum number of shares
granted per type of award to any individual may not exceed 1,500,000 in any calendar year and 3,000,000 in total. The ability to
grant new awards under this plan ended on December 31, 2009 but awards granted prior to such date continue until their
expiration. Restricted stock grants and common stock awards reduce stock options otherwise available for future grant. A total of
1,307,372 options and 300,000 restricted stock units were outstanding under this plan as of December 31, 2010.
The 2006 Stock Incentive Plan For Non-Employee Directors — This plan, adopted by the Company’ s stockholders on
October 11, 2006, replaces the 1995 Stock Option Plan for Non-Employee Directors. The Company adopted the plan so that it
could offer directors of the Company who are not employees of the Company or of any entity in which the Company has more
than a 50% equity interest (“independent directors”) an opportunity to participate in the ownership of the Company by receiving
options to purchase shares of common stock at a price equal to the fair market value at the date of grant of the option and
restricted stock awards. Awards for a maximum of 200,000 shares may be granted under this plan. A total of 15,000 options were
outstanding under this plan as of December 31, 2010.
The 2010 Long-term Stock Incentive Plan (“2010 Plan”) - This plan was adopted on April 23, 2010 with substantially the same
terms and provisions as the 1999 Long-term Stock Incentive Plan. The maximum number of shares granted per type of award to
any individual may not exceed 1,500,000 in any calendar year. Restricted stock grants and common stock awards reduce stock
options otherwise available for future grant. Awards for a maximum of 7,500,000 shares may be granted under this plan. A total
of 40,000 options and 175,000 restricted stock units were outstanding under this plan as of December 31, 2010.