Dish Network 2014 Annual Report Download - page 147

DISH NETWORK CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - Continued
F-41
share (the “2012 Stock Option Adjustment”). Except as noted below, all information discussed below reflects the
2012 Stock Option Adjustment.
On January 1, 2008, we completed the distribution of our technology and set-top box business and certain
infrastructure assets (the “Spin-off”) into a separate publicly-traded company, EchoStar. In connection with the
Spin-off, each DISH Network stock award was converted into an adjusted DISH Network stock award and a new
EchoStar stock award consistent with the Spin-off exchange ratio. We are responsible for fulfilling all stock awards
related to DISH Network common stock and EchoStar is responsible for fulfilling all stock awards related to
EchoStar common stock, regardless of whether such stock awards are held by our or EchoStar’s employees.
Notwithstanding the foregoing, our stock-based compensation expense, resulting from stock awards outstanding at
the Spin-off date, is based on the stock awards held by our employees regardless of whether such stock awards were
issued by DISH Network or EchoStar. Accordingly, stock-based compensation that we expense with respect to
EchoStar stock awards is included in “Additional paid-in capital” on our Consolidated Balance Sheets. As of
March 31, 2013, we have recognized all of our stock-based compensation expense resulting from EchoStar stock
awards outstanding at the Spin-off date held by our employees.
The following stock awards were outstanding:
Stock Awards Outstanding
Stock
Options
Restricted
Stock
Units
Stock
Options
Restricted
Stock
Units
Held by DISH Network employees.......... 10,564,344 1,731,332 469,188 42,056
Held by EchoStar employees................... 1,161,479 66,999 N/A N/A
Total......................................................... 11,725,823 1,798,331 469,188 42,056
As of December 31, 2014
EchoStar AwardsDISH Network Awards
Exercise prices for stock options outstanding and exercisable as of December 31, 2014 were as follows:
Number
Outstanding
as of
December 31,
2014
Weighted-
Average
Remaining
Contractual
Life
Weighted-
Average
Exercise
Price
Number
Exercisable
as of
December 31,
2014
Weighted-
Average
Remaining
Contractual
Life
Weighted-
Average
Exercise
Price
-$ - 10.00$ 1,020,243 2.89 6.29$ 1,020,243 2.89 6.29$
10.01$ - 20.00$ 5,204,509 2.32 17.92$ 530,109 1.51 17.60$
20.01$ - 30.00$ 2,724,266 5.38 25.64$ 1,427,366 4.94 25.61$
30.01$ - 40.00$ 2,085,855 7.58 35.80$ 262,555 6.59 34.70$
40.01$ - 50.00$ 25,200 6.43 44.43$ 10,000 3.50 42.52$
50.01$ - 60.00$ 100,000 7.75 57.92$ 25,000 5.60 57.92$
60.01$ - 70.00$ 565,750 8.86 64.17$ 23,750 6.80 63.79$
-$ - 70.00$ 11,725,823 4.39 24.51$ 3,299,023 3.90 19.64$
Options Outstanding Options Exercisable