Overstock.com 2010 Annual Report Download - page 128

Download and view the complete annual report

Please find page 128 of the 2010 Overstock.com annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 154

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148
  • 149
  • 150
  • 151
  • 152
  • 153
  • 154

Table of Contents
Overstock.com, Inc.
Notes to Consolidated Financial Statements (Continued)
18. STOCK-BASED AWARDS (Continued)
The following table summarizes information about stock options as of December 31, 2010 (in thousands, except per share data):
Options Outstanding Options Exercisable
Range of Exercise Prices Shares
Weighted
Average
Exercise
Price
Average
Remaining
Contract
Life
Aggregate
Intrinsic
Value Shares
Weighted
Average
Exercise
Price
Average
Remaining
Contract
Life
Aggregate
Intrinsic
Value
$10.80 - $16.99 6 $ 13.56 6.74 $ 20 4 $ 14.43 6.64 $ 9
$17.08 - $17.58 406 17.11 6.00 — 389 17.11 5.99 —
$20.00 - $27.40 76 22.02 2.03 — 72 22.11 1.78 —
$34.65 - $35.85 8 34.81 6.82 — 7 34.81 6.82 —
496 $ 18.09 5.41 $ 20 472 $ 18.08 5.36 $ 9
Total unrecognized compensation costs related to nonvested stock option awards was approximately $239,000, $1.8 million and $4.2 million as of
December 31, 2010, 2009 and 2008, respectively. These unrecognized compensation costs related to nonvested awards are expected to be recognized over the
weighted average period of one year.
The aggregate intrinsic value in the table above represents the total pretax intrinsic value, based on our stock price of $16.48 as of December 31, 2010,
which would have been received by the option holders had all option holders exercised their options as of that date. There were 4,000 in-the-money options
exercisable as of December 31, 2010.
The weighted average exercise price of options granted during the year ended December 31, 2008 was $14.14 per share. We did not grant any options
during the years ended December 31, 2010 and 2009. The total intrinsic value of options exercised during the years ended December 31, 2010, 2009 and 2008
was $381,000, $2,000 and $364,000, respectively. The total cash received from employees as a result of employee stock option exercises during the years
ended December 31, 2010, 2009 and 2008 were approximately $1.5 million, $29,000 and $1.5 million, respectively. In connection with these exercises, there
was no tax benefit realized due to our current net operating loss position.
Restricted Stock Unit Activity
For the years ended December 31, 2010, 2009 and 2008, 302,000, 366,000 and 491,000 restricted stock units were granted, respectively. The cost of
restricted stock units is determined using the fair value of our common stock on the date of the grant and compensation expense is recognized straight-line
over the three year vesting schedule. The weighted average grant date fair value of restricted stock units granted during the years ended December 31, 2010,
2009 and 2008 was $13.17, $10.15 and $12.64, respectively.
F-39