Big Lots 2012 Annual Report Download - page 141

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61
BIG LOTS, INC. AND SUBSIDIARIES
Notes to Consolidated Financial Statements (Continued)
Note 7 — Share-Based Plans (Continued)
The number of stock options expected to vest was based on our annual forfeiture rate assumption.
A summary of the nonvested restricted stock activity for fiscal years 2010, 2011, and 2012 is as follows:
Number of
Shares
Weighted
Average Grant-
Date Fair Value
Per Share
Outstanding nonvested restricted stock at January 30, 2010 ................... 849,488 $19.48
Granted ............................................................ 507,684 35.88
Vested ............................................................. (847,688) 19.46
Forfeited ........................................................... (5,700) 33.44
Outstanding nonvested restricted stock at January 29, 2011 ................... 503,784 $35.88
Granted ............................................................ 564,589 40.76
Vested ............................................................. (271,784) 35.84
Forfeited ........................................................... (55,300) 38.72
Outstanding nonvested restricted stock at January 28, 2012 ................... 741,289 $39.40
Granted ............................................................ 589,784 42.90
Vested ............................................................. (477,664) 38.52
Forfeited ........................................................... (69,800) 43.04
Outstanding nonvested restricted stock at February 2, 2013 ................... 783,609 $42.25
The nonvested restricted stock awards granted to employees (other than the awards granted to Mr. Fishman in
2010, 2011, and 2012) vest if certain financial performance objectives are achieved. If we meet a threshold financial
performance objective and the grantee remains employed by us, the restricted stock will vest on the opening of
our first trading window five years after the grant date of the award. If we meet a higher financial performance
objective and the grantee remains employed by us, the restricted stock will vest on the first trading day after we
file our Annual Report on Form 10-K with the SEC for the fiscal year in which the higher objective is met.
On the grant date of the 2011 restricted stock awards (other than the award granted to Mr. Fishman), we
estimated a three-year period for vesting based on the assumed achievement of the higher financial performance
objective. In the fourth quarter of 2012, based on operating results and future projections, we changed the
estimated vesting period of the 2011 restricted stock awards to four years. The impact of this change in estimate
will be recognized ratably over the remaining vesting period.
On the grant date of the 2012 restricted stock awards (other than the award granted to Mr. Fishman), we
estimated a three-year period for vesting based on the assumed achievement of the higher financial performance
objective. In the fourth quarter of 2012, based on operating results and future projections, we changed the
estimated vesting period of the 2012 restricted stock awards to four years. The impact of this change in estimate
will be recognized ratably over the remaining vesting period.
The restricted stock award granted to Mr. Fishman in 2011 vested in 2012 based on achievement of the
corporate financial goals for 2011. The nonvested restricted stock award granted to Mr. Fishman in 2012 would
have vested if we had achieved a corporate financial goal set for 2012. Because this condition was not achieved,
we expect the nonvested restricted stock award to be forfeited.
In 2012, 2011, and 2010, we granted to each of the non-employee members of our Board of Directors restricted
stock awards having a fair value on the grant date of approximately $95,000. These awards vest on the earlier
of (1) the trading day immediately preceding the next annual meeting of our shareholders; or (2) the death or
disability of the grantee. However, the restricted stock award will not vest if the non-employee director ceases to
serve on our Board of Directors before either vesting event occurs.