PBF Energy 2012 Annual Report Download - page 127

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PBF ENERGY INC. AND SUBSIDIARIES
(COMBINED AND CONSOLIDATED WITH PBF ENERGY COMPANY LLC AND SUBSIDIARIES)
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(IN THOUSANDS, EXCEPT SHARE, UNIT AND BARREL DATA)
12 - STOCK-BASED COMPENSATION (Continued)
PBF LLC Series B Units (Continued)
The following table summarizes activity for PBF LLC Series B Units for the years ended December 31, 2012,
2011 and 2010:
Number of
PBF LLC
Series B units
Weighted
Average
Grant Date
Fair Value
Non-vested units at January 1, 2010 ................ — $—
Allocated ................................. 950,000 5.11
Vested ................................... (237,500) 5.11
Forfeited ................................. — —
Non-vested units at December 31, 2010 ............. 712,500 $5.11
Allocated ................................. 50,000 5.11
Vested ................................... (262,500) 5.11
Forfeited ................................. — —
Non-vested units at December 31, 2011 ............. 500,000 $5.11
Allocated ................................. — —
Vested ................................... (250,000) 5.11
Forfeited ................................. — —
Non-vested units at December 31, 2012 ............. 250,000 $5.11
PBF Energy options
A total of 682,500 options to purchase shares of PBF Energy Class A Common Stock were granted to certain
employees and management of the Company concurrent with the IPO. The PBF Energy options vest over equal
annual installments on each of the first four anniversaries of the grant date subject to acceleration in certain
circumstances. The options are exercisable for ten years from the date of grant.
The estimated fair value of PBF Energy options granted during the year ended December 31, 2012 was
determined using the Black-Scholes pricing model with the following weighted average assumptions:
December 31,
2012
Expected life (in years) ............................ 6.25
Expected volatility ................................ 51.0%
Dividend yield ................................... 3.01%
Risk-free rate of return ............................ 0.89%
Exercise price ................................... $26.00
The total estimated fair value of PBF Energy options granted in 2012 was $6,327 and the weighted average
per unit value was $9.27. Unrecognized compensation expense related to PBF Energy options at December 31,
2012 was $6,239.
F-35