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FORM 10-K
59
Board of Directors for reasons other than death or retirement. The fair value of shares awarded under this plan is based on the closing
market price of the Company's common stock on the date of award and compensation expense is recorded evenly over the vesting period.
The table below identifies the director restricted stock activity under this plan during the year ended December 31, 2014:
Shares
(in thousands)
Weighted-Average Grant-Date
Fair Value
Non-vested at December 31, 2013 11 $ 94.18
Granted during the period 3 146.05
Vested during the period (6) 84.12
Forfeited during the period — —
Non-vested at December 31, 2014 8 $ 124.44
The following table summarizes activity related to restricted stock awarded by the Company for the years ended December 31, 2014,
2013 and 2012:
For the Year Ended
December 31,
2014 2013 2012
Compensation expense for restricted shares awarded (in millions) $ 2.6 $ 2.2 $ 2.0
Income tax benefit from compensation expense related to restricted shares (in
millions) $ 1.0 $ 0.8 $ 0.8
Total fair value of restricted shares at vest date (in millions) $ 3.7 $ 3.3 $ 2.7
Shares awarded under the plans (in thousands) 16.4 21.2 23.7
Average grant-date fair value of shares awarded under the plans $ 147.23 $ 102.63 $ 90.10
The remaining unrecognized compensation expense related to unvested restricted share awards at December 31, 2014, was $2.0 million
and the weighted-average period of time over which this cost will be recognized is 2.1 years.
Employee stock purchase plan:
The Company's employee stock purchase plan (the "ESPP") permits eligible employees to purchase shares of the Company's common
stock at 85% of the fair market value. Employees may authorize the Company to withhold up to 5% of their annual salary to participate
in the plan. The fair value of shares issued under the ESPP is based on the average of the high and low market prices of the Company's
common stock during the offering periods. Compensation expense is recognized based on the discount between the grant-date fair value
and the employee purchase price for the shares sold to employees.
The following table summarizes activity related to the Company's ESPP for the years ended December 31, 2014, 2013 and 2012:
For the Year Ended
December 31,
2014 2013 2012
Compensation expense for shares issued under the ESPP (in millions) $ 1.8 $ 1.7 $ 1.5
Income tax benefit from compensation expense for shares issued under the ESPP
(in millions) $ 0.7 $ 0.6 $ 0.6
Shares issued under the ESPP (in thousands) 77.0 100.6 114.6
Weighted-average price of shares issued under the ESPP $ 130.12 $ 95.51 $ 75.42
Profit sharing and savings plan:
The Company sponsors a contributory profit sharing and savings plan (the "401(k) Plan") that covers substantially all employees who
are at least 21 years of age and have at least six months of service. The Company makes matching contributions equal to 100% of the
first 2% of each employee's wages that are contributed and 25% of the next 4% of each employee's wages that are contributed. Beginning
in 2014, an employee must be employed on December 31 to receive that year's Company matching contribution, with the matching
contribution funded annually in the January following the year in which the matching contribution was earned. The Company may also
make additional discretionary profit sharing contributions to the plan on an annual basis as determined by the Board of Directors. The
Company did not make any discretionary contributions to the 401(k) Plan during the years ended December 31, 2014, 2013 or 2012. The
Company expensed matching contributions under the 401(k) Plan in the amounts of $16.8 million, $16.5 million and $15.6 million for
the years ended December 31, 2014, 2013 and 2012, respectively.