Equifax 2010 Annual Report Download - page 60

The aggregate intrinsic value amounts in the table above represent
the difference between the closing price of Equifax’s common stock
on December 31, 2010 and the exercise price, multiplied by the
number of in-the-money stock options as of the same date. This
represents the amount that would have been received by the stock
option holders if they had all exercised their stock options on
December 31, 2010. In future periods, this amount will change
depending on fluctuations in Equifax’s stock price. The total intrinsic
value of stock options exercised during the twelve months ended
December 31, 2010, 2009 and 2008, was $14.7 million, $5.1 million
and $14.4 million, respectively. At December 31, 2010, our total
unrecognized compensation cost related to stock options was
$7.0 million with a weighted-average recognition period of 1.5 years.
The following table summarizes changes in outstanding options and the related weighted-average exercise price per share for the
twelve months ended December 31, 2009 and 2008:
December 31,
2009 2008
(Shares in thousands) Shares
Weighted-
Average Price Shares
Weighted-
Average Price
Outstanding at the beginning of the year 6,422 $27.84 6,484 $24.94
Granted (all at market price) 1,198 $28.49 1,042 $35.35
Exercised (589) $17.35 (1,036) $16.72
Cancelled (186) $33.70 (68) $36.55
Outstanding at the end of the year 6,845 $28.68 6,422 $27.84
Exercisable at end of year 4,780 $27.21 4,699 $24.47
Nonvested Stock. Our 2008 Omnibus Incentive Plan also provides
for awards of nonvested shares of our common stock that can be
granted to executive officers, employees and directors. Nonvested
stock awards are generally subject to cliff vesting over a period
between one to three years based on service.
The fair value of nonvested stock is based on the fair market value of
our common stock on the date of grant. However, since our non-
vested stock does not pay dividends during the vesting period, the
fair value on the date of grant is reduced by the present value of the
expected dividends over the requisite service period (discounted
using the appropriate risk-free interest rate).
The following table summarizes changes in our nonvested stock dur-
ing the twelve months ended December 31, 2010, 2009 and 2008
and the related weighted-average grant date fair value:
(in thousands) Shares
Weighted-Average
Grant Date
Fair Value
Nonvested at December 31, 2007 823 $38.33
Granted 407 $35.05
Vested (360) $33.83
Forfeited (20) $38.90
Nonvested at December 31, 2008 850 $36.33
Granted 536 $28.41
Vested (230) $34.40
Forfeited (46) $31.75
Nonvested at December 31, 2009 1,110 $33.10
Granted 553 $33.27
Vested (317) $38.08
Forfeited (36) $33.20
Nonvested at December 31, 2010 1,310 $31.54
The total fair value of nonvested stock that vested during the
twelve months ended December 31, 2010, 2009 and 2008, was
$10.3 million, $6.5 million and $11.5 million, respectively, based on
the weighted-average fair value on the vesting date, and
$12.1 million, $7.9 million and $12.2 million, respectively, based on
the weighted-average fair value on the date of grant. At
December 31, 2010, our total unrecognized compensation cost
related to nonvested stock was $16.2 million with a weighted-aver-
age recognition period of 2.1 years.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS continued
EQUIFAX 2010 ANNUAL REPORT
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