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Table of Contents
GoDaddy Inc.
Notes to Consolidated Financial Statements
(In millions, except share amounts which are reflected in thousands and per share amounts)
event of a change in control. Each of these options, whether Time Options or Performance Options, have a contractual term of ten years.
The following table summarizes our option activity:
Number of
Shares of Class A
Common Stock
(#)
Weighted-
Average
Grant-
Date Fair
Value ($)
Weighted-
Average
Exercise
Price ($)
Weighted-
Average
Remaining
Contractual
Life
(in years)
Aggregate
Intrinsic
Value ($)
Outstanding at December 31, 2012
16,288
$ 5.27
Grants, including 167 assumed in acquisitions
10,777
$ 4.98
8.32
Exercises
(228)
5.09
Forfeitures
(1,032)
7.93
Outstanding at December 31, 2013
25,805
6.42
Grants
4,787
7.83
16.70
Exercises
(1,760)
4.26
Forfeitures
(2,180)
8.14
Outstanding at December 31, 2014
26,652
8.27
Grants
3,926
9.77
23.66
Exercises
(1,749)
7.65
Forfeitures
(1,410)
13.47
Outstanding at December 31, 2015
27,419
10.25
6.9
$ 598.3
Vested at December 31, 2015
13,655
6.07
5.8
354.9
During 2015 , 2014 and 2013 , we recognized $40.4 million , $30.1 million , and $16.4 million of equity-based compensation expense, respectively,
including $3.6 million , $3.7 million and $0 , respectively, of additional expense resulting from the modification of certain awards. At December 31, 2015 , total
unrecognized compensation expense related to non-vested awards was $53.8 million with an expected remaining weighted-average recognition period of
approximately 2.2 years. During 2013 , we determined the performance targets relating to a portion of our Performance Options would not be met, and
accordingly, reversed $1.8 million of previously recognized equity-based compensation expense. We currently believe the performance targets related to the
vesting of performance options will be achieved. If such targets are not achieved, or are subsequently determined to not be probable of being achieved, we will not
recognize any compensation expense relating to performance options, and will reverse any previously recognized expense.
The fair value of each ESPP share is estimated on the first day of each offering period using the Black-Scholes option pricing model, and is recognized as
equity-based compensation expense on a straight-line basis over the term of each six-month offering period. Compensation expense recognized for ESPP shares is
included in the totals noted above. As of December 31, 2015 , $2.4 million has been withheld on behalf of employees for future purchases under the ESPP, which
is included in accrued expenses and other current liabilities. At December 31, 2015 , total unrecognized compensation expense related to ESPP shares was $2.8
million , which will be recognized during the first half of 2016 .
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