Sears 2011 Annual Report Download - page 87

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SEARS HOLDINGS CORPORATION
Notes to Consolidated Financial Statements—(Continued)
We granted restricted stock awards to certain associates. These restricted stock awards typically vest in one
to four years from the date of grant, provided the grantee remains employed by us at the vesting date. The fair
value of these awards is equal to the market price of our common stock on the date of grant. We do not currently
have a program that provides for restricted stock awards on an annual basis. Changes in restricted stock awards
for 2011, 2010, and 2009 were as follows:
2011 2010 2009
(Shares in thousands) Shares
Weighted-
Average
Fair Value
on Date
of Grant Shares
Weighted-
Average
Fair Value
on Date
of Grant Shares
Weighted-
Average
Fair Value
on Date
of Grant
Beginning of year balance ..................... 313 $74.09 279 $ 80.73 594 $134.32
Granted ................................... 386 59.60 176 83.09 110 54.90
Vested .................................... (72) 81.55 (110) 103.19 (86) 134.67
Forfeited .................................. (131) 61.62 (32) 81.38 (339) 152.59
End of year balance ...................... 496 $65.02 313 $ 74.09 279 $ 80.73
millions 2011 2010 2009
Aggregate fair value of shares granted based on weighted average fair value at
date of grant .................................................... $23 $15 $ 6
Aggregate fair value of shares vesting during period ...................... 5 10 5
Aggregate fair value of shares forfeited during period ..................... 8 2 14
Approximately 156,000 shares of the 496,000 shares of restricted stock outstanding at January 28, 2012 are
expected to vest during 2012.
Common Share Repurchase Program
From time to time, we repurchase shares of our common stock under a common share repurchase program
authorized by our Board of Directors. The common share repurchase program was initially announced in 2005
with a total authorization since inception of the program of $6.5 billion. During 2011, we repurchased
approximately 2.8 million of our common shares at a total cost of approximately $183 million, or an average
price of $65.66 per share. During 2010, we repurchased approximately 5.5 million of our common shares at a
total cost of approximately $394 million, or an average price of $71.76 per share. During 2009, we repurchased
approximately 7.1 million of our common shares at a total cost of approximately $424 million, or an average
price of $59.81 per share. At January 28, 2012, we had approximately $504 million of remaining authorization
under this program.
The share repurchase program has no stated expiration date and share repurchases may be implemented
using a variety of methods, which may include open market purchases, privately negotiated transactions, block
trades, accelerated share repurchase transactions, the purchase of call options, the sale of put options or
otherwise, or by any combination of such methods.
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