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Table of Contents
Nordstrom, Inc.
Notes to Consolidated Financial Statements
Dollar and share amounts in millions except per share, per option and per unit amounts
58
A summary of restricted stock unit activity (excluding Trunk Club) for 2014 is presented below:
Fiscal year 2014
Shares
Weighted-average
grant date fair value
per unit
Outstanding, beginning of year 0.0 $56
Granted 0.5 63
Vested 0.0 56
Forfeited 0.0 61
Outstanding, end of year 0.5 $63
The total fair value of restricted stock units vested during 2014 was $1. As of January 31, 2015, the total unrecognized stock-based
compensation expense related to nonvested restricted stock units was $25, which is expected to be recognized over a weighted-average
period of 38 months.
Trunk Club
As discussed in Note 2: Trunk Club Acquisition, some of the Nordstrom stock issued as consideration for our acquisition includes ongoing
vesting requirements for Trunk Club’s employees. These amounts are recorded as compensation expense as the related service is
performed over the respective employee vesting periods of up to four years after the acquisition date.
The weighted-average grant date fair value of stock options granted was $59 per share. As of January 31, 2015, the total unrecognized
stock-based compensation expense related to Trunk Club options was $13, which is expected to be recognized over a weighted-average
period of 32 months. The total intrinsic value of Trunk Club options exercised during 2014 was $8, while the total fair value of Trunk Club
stock options vested during 2014 was $2. A summary of the stock option activity related to Trunk Club is as follows:
Fiscal year 2014
Shares
Weighted-
average
exercise price
Weighted-average
remaining
contractual
life (years)
Aggregate
intrinsic
value
Outstanding, beginning of year — $—
Granted 0.5 4
Exercised (0.1) 3
Forfeited or cancelled 0.0 6
Outstanding, end of year 0.4 $4 8 $24
Options exercisable at end of year 0.1 $4 8 $4
Options vested or expected to vest at end of year 0.3 $4 8 $24
The total unrecognized stock-based compensation expense related to Trunk Club restricted stock was $21, which is expected to be
recognized over a weighted-average period of 30 months. A summary of the restricted stock award activity related to Trunk Club is as follows:
Fiscal year 2014
Shares
Weighted-average
grant date fair value
per unit
Outstanding, beginning of year — $—
Granted 0.5 69
Vested (0.1) 69
Forfeited — —
Outstanding, end of year 0.4 $69