Plantronics 2013 Annual Report Download - page 76

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66
As of March 31, 2013, the total unrecognized compensation cost related to unvested stock options was $6.3 million and is expected
to be recognized over a weighted average period of 1.9 years.
Restricted Stock
Restricted stock consists of awards of restricted stock and restricted stock units ("RSUs"). The following is a summary of the
Company’s restricted stock activity during fiscal year 2013:
Number of
Shares
Weighted
Average Grant
Date Fair Value
(in thousands)
Non-vested at March 31, 2012 815 $ 33.37
Restricted stock granted 584 $ 32.22
Restricted stock vested (254) $ 31.24
Restricted stock forfeited (120) $ 32.59
Non-vested at March 31, 2013 1,025 $ 33.34
The weighted average grant-date fair value of restricted stock is based on the quoted market price of the Company's common stock
on the date of grant. The weighted average grant-date fair values of restricted stock granted during fiscal years 2013, 2012 and
2011 were $32.22, $36.37, and $33.54, respectively. The total grant-date fair values of restricted stock that vested during fiscal
years 2013, 2012, and 2011 were $7.9 million, $5.5 million, and $3.1 million, respectively.
As of March 31, 2013, the total unrecognized compensation cost related to non-vested restricted stock awards was $21.3 million
and is expected to be recognized over a weighted average period of 2.5 years.
Restricted stock granted during fiscal year 2013 included 74,298 shares of RSUs granted under a special stock inducement plan
to former employees of Tonalite in connection with the Company's acquisition of all the equity interests in Tonalite during the
year. The RSUs vest annually over four years, subject to the continued employment of the RSU holder on each vesting date. As
future services are required, the fair value of the RSUs was not included in the acquisition consideration and the associated expense
will be recognized over the post-acquisition requisite service period.
Valuation Assumptions
The Company estimates the fair value of stock options and ESPP shares using a Black-Scholes option valuation model. At the
date of grant, the Company estimated the fair value of each stock option grant and purchase right granted under the ESPP using
the following weighted average assumptions:
Employee Stock Options ESPP
Fiscal Year Ended March 31, 2013 2012 2011 2013 2012 2011
Expected volatility 41.8% 45.3% 45.7% 32.4% 37.3% 38.7%
Risk-free interest rate 0.6% 1.0% 1.4% 0.1% 0.1% 0.2%
Expected dividends 1.2% 0.6% 0.6% 1.0% 0.6% 0.6%
Expected life (in years) 4.3 4.0 4.2 0.5 0.5 0.5
Weighted-average grant date fair
value $ 10.31 $ 12.06 $ 11.92 $ 9.00 $ 8.69 $ 8.67
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