CompUSA 2013 Annual Report Download - page 62

Download and view the complete annual report

Please find page 62 of the 2013 CompUSA annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 90

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90

The following table summarizes information about options vested and exercisable or nonvested that are expected to vest (nonvested
outstanding less expected forfeitures) at December 31, 2013:
The aggregate intrinsic value in the tables above represents the total pretax intrinsic value (the difference between the closing stock price on
the last day of trading in 2013 and the exercise price) that would have been received by the option holders had all options been exercised on
December 31, 2013. This value will change based on the fair market value of the Company’s common stock.
The following table reflects the activity for all unvested stock options during 2013:
At December 31, 2013, there was approximately $1.1 million of unrecognized compensation costs related to unvested stock options, which
is expected to be recognized over a weighted average period of 2.27 years. The total fair value of stock options vested during 2013, 2012
and 2011 was $1.6 million, $1.1 million and $2.2 million, respectively.
Restricted Stock and Restricted Stock Units
In 2004, the Company granted 1,000,000 restricted stock units (“RSUs”)
under the 1999 Plan to a former officer and director (See Note 8 of
Notes to Consolidated Financial Statements). A RSU represents the right to receive a share of the Company’
s common stock. The RSUs
have none of the rights as other shares of common stock, other than rights to cash dividends, until common stock is distributed. This RSU
award was a non-
performance award which vested at the rate of 20% on May 31, 2005 and 10% per year on April 1, 2006 and each year
thereafter. The share-based expense for RSUs is determined based on the market price of the Company’
s stock at the date of the award.
Compensation expense related to this RSU was zero in 2013 and 2012 and $0.1 million in 2011. As part of the settlement agreement (see
Note 8 of Notes to Consolidated Financial Statements), all unvested RSUs were terminated and of no further force and effect.
In
August 2010, the Company granted 175,000 RSUs under the 2010 Plan to a key employee who is also a Company director. These RSUs
have none of the rights as other shares of common stock, other than rights to cash dividends, until common stock is distributed. This RSU
award was a non-
performance award which vests in ten equal annual installments of 17,500 units beginning May 15, 2011 and each May 15,
thereafter. Compensation expense related to this RSU award was approximately $0.3 million, $0.4 million and $0.6 million during each of
2013, 2012 and 2011, respectively.
58
Table of Contents
Range of Exercise
Prices
Number
Exercisable
Weighted Average
Exercise Price
Weighted Average
Remaining
Contractual Life
Aggregate Intrinsic
Value (in millions)
$
5.00 to $10.00
68,659
$
8.52
6.45
$
0.2
$
10.01 to $15.00
386,347
$
13.11
6.39
-
$
15.01 to $20.00
566,659
$
18.39
5.83
-
$
20.01 to $20.15
100,000
$
20.15
3.06
-
$
5.00 to $20.15
1,121,665
$
16.12
5.81
$
0.2
Shares
Weighted
Average
Grant- Date
Fair Value
Unvested at January 1, 2013
670,250
$
9.01
Granted
60,000
$
4.44
Vested
(176,500
)
$
9.23
Forfeited
(151,000
)
$
8.09
Unvested at December 31, 2013
402,750
$
8.58