OfficeMax 2011 Annual Report Download - page 105

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vote, bears an annual cumulative dividend of $3.31875 per share and is convertible at any time by the trustee to
0.82168 share of common stock per share of preferred stock. The ESOP preferred shares may not be redeemed
for less than the liquidation preference.
Common Stock
The Company is authorized to issue 200,000,000 shares of common stock, of which 86,158,662 shares were
issued and outstanding at December 31, 2011. Of the unissued shares, 10,960,412 shares were reserved for the
following purposes:
Conversion or redemption of Series D ESOP preferred stock ................................ 524,521
Issuance under 2003 OfficeMax Incentive and Performance Plan ............................. 9,619,788
Issuance under Key Executive Stock Option Plan ......................................... 744,000
Issuance under Director Stock Compensation Plan ........................................ 7,475
Issuance under Director Stock Option Plan .............................................. 5,000
Issuance under 2001 Key Executive Deferred Compensation Plan ............................ 2,441
Issuance under 2003 Director Stock Compensation Plan .................................... 57,187
Accumulated Other Comprehensive Income (Loss)
Accumulated other comprehensive income (loss) includes the following:
Pension and
Postretirement
Liability
Adjustment
Foreign
Currency
Translation
Adjustment
Unrealized
Hedge Loss
Adjustment
Accumulated
Other
Comprehensive
Income (Loss)
(thousands)
Balance at December 26, 2009 ................... $(253,179) $120,664 $ — $(132,515)
Current-period changes, before taxes .............. 27,263 21,290 (1,233) 47,320
Income taxes ................................. (10,907) — 349 (10,558)
Balance at December 25, 2010 ................... $(236,823) $141,954 $ (884) $ (95,753)
Current-period changes, before taxes .............. (144,236) (6,195) 1,435 (148,996)
Income taxes ................................. 55,482 — (394) 55,088
Balance at December 31, 2011 ................... $(325,577) $135,759 $ 157 $(189,661)
Share-Based Payments
The Company sponsors several share-based compensation plans, which are described below. The Company
recognizes compensation expense from all share-based payment transactions with employees in the consolidated
financial statements at fair value. Compensation costs related to the Company’s share-based plans were
$16.7 million, $13.2 million and $8.5 million for 2011, 2010 and 2009, respectively. Compensation expense is
generally recognized on a straight-line basis over the vesting period of grants. The total income tax benefit
recognized in the income statement for share-based compensation arrangements was $6.5 million, $5.1 million
and $3.3 million for 2011, 2010 and 2009, respectively.
2003 Director Stock Compensation Plan and OfficeMax Incentive and Performance Plan
In February 2003, the Company’s Board of Directors adopted the 2003 Director Stock Compensation Plan
(the “2003 DSCP”) and the 2003 OfficeMax Incentive and Performance Plan (the “2003 Plan,” formerly named
the 2003 Boise Incentive and Performance Plan), which were approved by shareholders in April 2003. At
December 31, 2011, a total of 57,187 shares of common stock were reserved for issuance under the 2003 DSCP,
and a total of 9,619,788 shares of common stock were reserved for issuance under the 2003 Plan.
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