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LIFE TIME FITNESS, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Table amounts in thousands, except share and per share data)
68
Total share-based compensation expense, which includes stock option expense and restricted stock expense,
included in our consolidated statements of operations for the years ended December 31, 2011, 2010 and 2009, was
as follows:
Share-based compensation expense related to stock options
Share-based compensation expense related to restricted shares
Share-based compensation expense related to employee stock
purchase plan
Total share-based compensation expense
For the Year Ended December 31,
2011
$—
19,647
120
$ 19,767
2010
$41
12,694
100
$ 12,835
2009
$ 797
7,191
94
$ 8,082
Summary of Restricted Stock Activity
Outstanding at December 31, 2008
Granted
Canceled
Vested
Outstanding at December 31, 2009
Granted
Canceled
Vested
Outstanding at December 31, 2010
Granted
Canceled
Vested
Outstanding at December 31, 2011
Shares
487,203
1,698,194
(67,552)
(151,173)
1,966,672
419,156
(150,402)
(317,553)
1,917,873
367,668
(6,744)
(376,714)
1,902,083
Weighted
Average
Grant Date
Fair Value
$35.22
$16.26
$22.61
$37.33
$19.12
$31.09
$19.12
$22.43
$21.19
$38.36
$26.62
$22.32
$24.27
During the years ended December 31, 2011, 2010 and 2009, we issued 367,668 shares, 419,156 shares and
1,698,194 shares of restricted stock, respectively, with an aggregate fair value of $14.1 million, $13.0 million and
$27.6 million, respectively. The fair market value of restricted shares that became vested during the year ended
December 31, 2011 was $8.4 million. The total value of each restricted stock grant, based on the fair market value of
the stock on the date of grant, is amortized to compensation expense on a straight-line basis over the related vesting
period. As of December 31, 2011, there was $22.4 million of unrecognized compensation expense related to
restricted stock that is expected to be recognized over a weighted average period of 1.8 years.
Special 2009 Restricted Stock Grant
In June 2009, the Compensation Committee of our Board of Directors approved the grant of 996,000 shares of long-
term performance-based restricted stock to serve as an incentive to our senior management team to achieve certain
diluted earnings per share (“EPS”) targets in 2011 and 2012. In August 2010, an additional 20,000 shares of long-
term performance-based restricted stock were granted to a new member of senior management using the same
diluted EPS targets and vesting schedule. As of December 31, 2011, 907,000 of these shares were still outstanding. A
specified EPS target was achieved for fiscal 2011 and 50% of the restricted shares vested. If a higher EPS target had