Xcel Energy 2015 Annual Report Download - page 119
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The performance conditions for a portion of the awards granted in 2015 and 2014 are based on relative TSR, measured identically to
TSR liability awards granted in those years, and measurement of performance for a portion of units awarded from 2011 to 2013 is
based on EPS growth with an additional condition that Xcel Energy Inc.’s annual dividend paid on its common stock remains at a
specified amount per share or greater. The performance conditions for the remaining employee equity awards are based on
environmental goals. Equity awards with performance conditions awarded from 2011 to 2015, plus associated dividend equivalents,
will be settled or forfeited and the restricted period will lapse after three years, with potential payouts ranging from zero to 150 percent
for 2011 to 2013 grants, and zero to 200 percent for 2014 and 2015 grants, depending on the level of achievement.
• The 2010 environmental awards met their targets as of Dec. 31, 2012 and were settled in shares in February 2013.
• The 2011 awards measured on EPS growth and the 2011 environmental awards met their targets as of Dec. 31, 2013 and were
settled in shares in February 2014.
• The 2012 awards measured on EPS growth and the 2012 environmental awards met their targets as of Dec. 31, 2014, and
were settled in shares in February 2015.
• The 2013 awards measured on EPS growth, the 2013 environmental awards and the 2013 time-based awards met their targets
as of Dec. 31, 2015, and will be settled in shares in February 2016.
Equity award units granted to employees, excluding restricted stock and applicable 401(k) employer match settlements, for the years
ended Dec. 31 were as follows:
(Units in Thousands) 2015 2014 2013
Granted units . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 496 588 774
Weighted average grant date fair value. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 36.09 $ 29.90 $ 27.65
Approximately 0.8 million of these units vested during 2015 at a total fair value of $27.1 million. Approximately 0.5 million of these
units vested during 2014 at a total fair value of $19.6 million. Approximately 0.6 million of these units vested during 2013 at a total
fair value of $16.8 million.
A summary of the changes in the nonvested portion of these equity award units for the year ended 2015, were as follows:
(Units in Thousands) Units Weighted Average
Grant Date Fair Value
Nonvested Units at Jan. 1, 2015 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,322 $ 28.63
Granted . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 496 36.09
Forfeited . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (99) 30.97
Vested . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (756) 27.67
Dividend equivalents. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62 30.25
Nonvested Units at Dec. 31, 2015. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,025 32.81
The total fair value of these nonvested equity awards as of Dec. 31, 2015 was $36.8 million and the weighted average remaining
contractual life was 1.7 years.
Stock Equivalent Units — Non-employee members of the Xcel Energy Inc. Board of Directors receive annual awards of stock
equivalent units, with each unit having a value equal to one share of Xcel Energy Inc. common stock. The annual grants are vested as
of the date of each member’s election to the Board of Directors; there is no further service or other condition attached to the annual
grants. Additionally, directors may elect to receive their fees in stock equivalent units in lieu of cash. Dividends on Xcel Energy
Inc.’s common stock are converted to stock equivalent units and granted based on the number of stock equivalent units held by each
participant as of the dividend date. The stock equivalent units are payable as a distribution of Xcel Energy Inc.’s common stock upon
a director’s termination of service.
The stock equivalent units granted for the years ended Dec. 31 were as follows:
(Units in Thousands) 2015 2014 2013
Granted units . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 60 62 69
Grant date fair value . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 34.58 $ 30.57 $ 29.52