Huntington National Bank 2015 Annual Report Download - page 165

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The following table presents additional information regarding options outstanding as of December 31, 2015:
(amounts in thousands, except years and per share amounts) Options Outstanding Exercisable Options
Weighted-
Range of
Exercise Prices Shares
Weighted-
Average
Remaining
Contractual
Life (Years)
Weighted-
Average
Exercise
Price Shares
Weighted-
Average
Exercise
Price
$0 to $5.63 704 1.2 $ 4.30 704 $ 4.30
$5.64 to $6.02 5,666 2.6 6.02 5,666 6.02
$6.03 to $15.95 9,482 4.6 6.98 5,660 6.98
$15.96 and over 269 0.3 21.07 269 21.07
Total 16,121 3.7 $ 7.25 12,299 $ 6.69
Huntington also grants restricted stock, restricted stock units, performance share awards, and other stock-based awards.
Restricted stock units and awards are issued at no cost to the recipient, and can be settled only in shares at the end of the vesting
period. Restricted stock awards provide the holder with full voting rights and cash dividends during the vesting period. Restricted
stock units do not provide the holder with voting rights or cash dividends during the vesting period, but do accrue a dividend
equivalent that is paid upon vesting, and are subject to certain service restrictions. Performance share awards are payable contingent
upon Huntington achieving certain predefined performance objectives over the three-year measurement period. The fair value of these
awards is the closing market price of Huntington’s common stock on the grant date.
The following table summarizes the status of Huntington’s restricted stock units and performance share awards as of
December 31, 2015, and activity for the year ended December 31, 2015:
Restricted Stock Awards Restricted Stock Units Performance Share Awards
(amounts in thousands, except per share amounts) Quantity
Weighted-
Average
Grant Date
Fair Value
Per Share Quantity
Weighted-
Average
Grant Date
Fair Value
Per Share Quantity
Weighted-
Average
Grant Date
Fair Value
Per Share
Nonvested at January 1, 2015 12 $ 9.53 11,904 $ 7.79 2,579 $ 7.76
Granted — — 4,550 10.84 883 10.94
Assumed — —————
Vested (3) 9.53 (3,785) 7.11 (513) 6.77
Forfeited (2) 9.53 (499) 8.53 (56) 6.88
Nonvested at December 31, 2015 7 $ 9.53 12,170 $ 9.11 2,893 $ 8.99
15. BENEFIT PLANS
Huntington sponsors the Plan, a non-contributory defined benefit pension plan covering substantially all employees hired or
rehired prior to January 1, 2010. The Plan, which was modified in 2013 and no longer accrues service benefits to participants, provides
benefits based upon length of service and compensation levels. The funding policy of Huntington is to contribute an annual amount
that is at least equal to the minimum funding requirements but not more than the amount deductible under the Internal Revenue Code.
There were no required minimum contributions during 2015. During the 2013 third quarter, the board of directors approved, and
management communicated, a curtailment of the Company’s pension plan effective December 31, 2013.
In addition, Huntington has an unfunded defined benefit post-retirement plan that provides certain healthcare and life insurance
benefits to retired employees who have attained the age of 55 and have at least 10 years of vesting service under this plan. For any
employee retiring on or after January 1, 1993, post-retirement healthcare benefits are based upon the employee’s number of months of
service and are limited to the actual cost of coverage. Life insurance benefits are a percentage of the employee’s base salary at the time
of retirement, with a maximum of $50,000 of coverage. The employer paid portion of the post-retirement health and life insurance
plan was eliminated for employees retiring on and after March 1, 2010. Eligible employees retiring on and after March 1, 2010, who
elect retiree medical coverage, will pay the full cost of this coverage. Huntington will not provide any employer paid life insurance to
employees retiring on and after March 1, 2010. Eligible employees will be able to convert or port their existing life insurance at their
own expense under the same terms that are available to all terminated employees.
On January 1, 2015, Huntington terminated the company sponsored retiree health care plan for Medicare eligible retirees and
their dependents. Instead, Huntington will partner with a third-party to assist the retirees and their dependents in selecting individual