CompUSA 2012 Annual Report Download - page 58

The aggregate intrinsic value in the tables above represents the total pretax intrinsic value (the difference between the closing stock price
on the last day of trading in 2012 and the exercise price) that would have been received by the option holders had all options been
exercised on December 31, 2012. This value will change based on the fair market value of the Company’s common stock.
The following table reflects the activity for all unvested stock options during 2012:
At December 31, 2012, there was approximately $2.8 million of unrecognized compensation costs related to unvested stock options,
which is expected to be recognized over a weighted average period of 2.87 years. The total fair value of stock options vested during 2012,
2011 and 2010 was $1.1 million, $2.2 million and $2.6 million, respectively.
Restricted Stock and Restricted Stock Units
In October 2004, the Company granted 1,000,000 restricted stock units under the 1999 Plan to a former officer and director (See Note 8 of
Notes to Consolidated Financial Statements). A restricted stock unit represents the right to receive a share of the Company’s common
stock. The restricted stock units have none of the rights as other shares of common stock, other than rights to cash dividends, until
common stock is distributed. The restricted stock unit award was a non-performance award which vested at the rate of 20% on May 31,
2005 and 10% per year on April 1, 2006 and each year thereafter. The share-based expense for restricted stock awards was determined
based on the market price of the Company’s stock at the date of the award. Compensation expense related to the restricted stock award
was $0 in 2012, $0.1 million in 2011 and $0.6 million in 2010. As part of the settlement agreement (see Note 8 of Notes to Consolidated
Financial Statements), no less than 300,000 shares or units of restricted stock were terminated and of no further force and effect.
In August 2010, the Company granted 175,000 restricted stock units under the 2010 Plan to a key employee who is also a Company
director. A restricted stock unit represents the right to receive a share of the Company’s common stock. The restricted stock units have
none of the rights as other shares of common stock, other than rights to cash dividends, until common stock is distributed. The restricted
stock unit award was a non-performance award which vests in ten equal annual installments of 17,500 units beginning May 15, 2011 and
each May 15, thereafter. The share-based expense for restricted stock awards was determined based on the market price of the Company’
s
stock at the date of the award. Compensation expense related to the restricted stock award was approximately $0.4 million for the year
ended December 31, 2012.
In October 2011 and November 2011, the Company granted 100,000 restricted stock units under the 2010 Plan to two key employees, one
of whom is a Company director. A restricted stock unit represents the right to receive a share of the Company’s common stock. The
restricted stock units have none of the rights as other shares of common stock, other than rights to cash dividends, until common stock is
distributed. The restricted stock unit award was a non-performance award which vests in ten equal annual installments of 10,000 units
beginning October 3, 2012 and November 14, 2012, respectively, and each October 3 and November 14, respectively, thereafter. The
share-based expense for restricted stock awards was determined based on the market price of the Company’s stock at the date of the
award. Compensation expense related to these restricted stock awards was approximately $0.7 million for the year ended December 31,
2012.
In January 2012 and March 2012, the Company granted 50,000 restricted stock units under the 2010 Plan to two key employees. A
restricted stock unit represents the right to receive a share of the Company’s common stock. The restricted stock units have none of the
rights as other shares of common stock, other than rights to cash dividends, until common stock is distributed. The restricted stock unit
award was a non-
performance award which vests in ten equal annual installments of 10,000 units beginning January 3, 2013 and March 1,
2013, respectively, and each January 3 and March 1, thereafter. The share-based expense for restricted stock awards was determined
based on the market price of the Company’s stock at the date of the award. Compensation expense related to these restricted stock awards
was approximately $0.5 million for the year ended December 31, 2012.
Table of Contents
Shares
Weighted
Average Grant-
Date Fair Value
Unvested at January 1, 2012
370,750
$
8.29
Granted
772,500
$
7.90
Vested
(123,250
)
$
8.54
Forfeited
(349,750
)
$
5.96
Unvested at December 31, 2012
670,250
$
9.01
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