Rayovac 2011 Annual Report Download - page 111

SPECTRUM BRANDS HOLDINGS, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(CONTINUED)
(In thousands, except per share amounts)
Amounts recorded in AOCI on the accompanying Consolidated Statements of Shareholders’ Equity
(Deficit) and Comprehensive Income (Loss) for Fiscal 2011, Fiscal 2010 and Fiscal 2009 are net of the following
tax (benefit) expense amounts:
Pension
Adjustment
Cash
Flow Hedges
Translation
Adjustment Total
2011 (Successor Company) ........................... $(5,566) $ 3,002 $(2,250) $ (4,814)
2010 (Successor Company) ........................... $(6,141) $(2,659) $(1,566) $(10,366)
2009 (Successor Company) ........................... $ 247 $ 16 $ 319 $ 582
2009 (Predecessor Company) .......................... $ (497) $ 5,286 $ (40) $ 4,749
(u) Stock Compensation
The Company measures the cost of its stock-based compensation plans based on the fair value of its employee
stock awards at the date of grant and recognizes these costs over the requisite service period of the awards.
In September 2009, the Successor Company’s board of directors (the “Board”) adopted the 2009 Spectrum
Brands Inc. Incentive Plan (the “2009 Plan”). In conjunction with the Merger the 2009 Plan was assumed by SB
Holdings. Prior to October 21, 2010, up to 3,333 shares of common stock, net of forfeitures and cancellations, could
have been issued under the 2009 Plan. After October 21, 2010, no further awards may be made under the 2009 Plan.
In conjunction with the Merger, the Company adopted the Spectrum Brands Holdings, Inc. 2007 Omnibus
Equity Award Plan (formerly known as the Russell Hobbs Inc. 2007 Omnibus Equity Award Plan, as amended
on June 24, 2008) (the “2007 RH Plan”). Prior to October 21, 2010, up to 600 shares of common stock, net of
forfeitures and cancellations, could have been issued under the RH Plan. After October 21, 2010, no further
awards may be made under the 2007 RH Plan.
On October 21, 2010, the Company’s Board of Directors adopted the Spectrum Brands Holdings, Inc. 2011
Omnibus Equity Award Plan (“2011 Plan”), which was approved at the Annual Meeting of Stockholders on
March 1, 2011. Up to 4,626 shares of common stock of the Company, net of cancellations, may be issued under
the 2011 Plan.
Total stock compensation expense associated with restricted stock awards recognized by the Successor
Company during Fiscal 2011 was $30,389 or $19,753, net of taxes. The amounts before tax are included in
General and administrative expenses in the accompanying Consolidated Statements of Operations, of which $467
or $304 net of taxes, related to the accelerated vesting of certain awards to terminated employees.
Total stock compensation expense associated with restricted stock awards recognized by the Successor
Company during Fiscal 2010 was $16,676 or $10,839, net of taxes. The amounts before tax are included in
General and administrative expenses and Restructuring and related charges in the accompanying Consolidated
Statements of Operations, of which $2,141 or $1,392 net of taxes, was included in Restructuring and related
charges primarily related to the accelerated vesting of certain awards to terminated employees. The Successor
Company recorded no stock compensation expense during the period from August 31, 2009 through
September 30, 2009.
Total stock compensation expense associated with both stock options and restricted stock awards recognized
by the Predecessor Company during the period from October 1, 2008 through August 30, 2009 was $2,636 or
$1,642, net of taxes. The amounts before tax are included in General and administrative expenses in the
accompanying Consolidated Statements of Operations.
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