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Jarden Corporation Annual Report 2013 59
13. Stockholders’ Equity and Share-Based Awards
The Company maintains the 2013 Stock Incentive Plan, which allows for grants of stock options, restricted stock and short-term cash
awards. At December31, 2013, there were approximately 6.3million share-based awards collectively available for grant under this stock
plan.
Stock Options
A summary of the Company’s stock option activity in 2013 is as follows:
Shares
(inthousands)
Weighted
Average
Exercise Price
Weighted
Average
RemainingLife
(years)
TotalIntrinsic
Value
(inmillions)
Options outstanding, beginning of year 585.3$14.62   
Granted —   —    
Exercised (229.6)14.85   
Cancelled —   —    
     
Options outstanding, end of year (a) 355.7$14.47  2.1  $16.7
     
(a) All options outstanding are exercisable
The Company does not use cash to settle any of its options or restricted stock awards and when available issues shares from its
treasury stock instead of issuing new shares. Common stock options vest ratably over an explicit service period of typically 3 to 4 years
and generally have a contractual term of 7 years. The total intrinsic value of options exercised was $6.8, $16.5 and $18.4 for 2013, 2012
and 2011, respectively. There were no options granted in 2013, 2012 and 2011.
Restricted Shares of Common Stock
The Company issues restricted stock awards whose restrictions lapse upon either the passage of time (service vesting), achieving
performance targets, attaining Company common stock price thresholds or some combination of these restrictions. The contractual life
is generally 7 years for those restricted stocks with performance targets, common stock price thresholds or some combination thereof.
For those restricted stock awards with common stock price thresholds, the fair values were determined using a Monte Carlo simulation
embedded in a lattice model. The fair value for all other restricted stock awards were based on the closing price of the Company’s
common stock on the dates of grant.
A summary of the Company’s restricted stock activity for 2013 is as follows:
Shares
(Inthousands)
Outstanding as of December31, 2012 4,985.1
Granted 1,687.1
Released/Vested (2,407.0)
Cancelled (258.6)
Outstanding as of December31, 2013 4,006.6
The total fair value of restricted shares granted and total fair value of restricted shares vested for 2013, 2012 and 2011 is as follows:
(In millions) 2013 2012 2011
Total fair value of restricted shares granted $75.0 $43.2 $36.0
Total fair value of restricted shares vested 85.7 49.6 14.5
Notes to Consolidated Financial Statements
Jarden Corporation Annual Report 2013 (Dollars in millions, except per share data and unless otherwise indicated)