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Table of Contents
IAC/INTERACTIVECORP AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
NOTE 13—STOCK-BASED COMPENSATION (Continued)
The following table summarizes the information about stock options outstanding and exercisable as of December 31, 2010:
Restricted Stock Units and Performance Stock Units
RSUs are awards in the form of phantom shares or units, denominated in a hypothetical equivalent number of shares of IAC common stock
and with the value of each RSU equal to the fair value of IAC common stock at the date of grant. RSUs may be settled in cash, stock or both, as
determined by the Committee at the time of grant. With the exception of awards to non-U.S. employees, which are settled in cash, all awards are
settled in stock. Each RSU and PSU grant is subject to service-based vesting, where a specific period of continued employment must pass before
an award vests. PSUs also include performance-
based vesting, where certain performance targets set at the time of grant must be achieved before
an award vests. The Company recognizes expense for all RSUs and PSUs for which vesting is considered probable. For RSU grants to U.S.
employees, the expense is measured at the grant date as the fair value of IAC common stock and expensed as non-cash compensation over the
vesting term. For PSU grants to U.S. employees, the expense is measured at the grant date as the fair value of IAC common stock and expensed
as non-cash compensation over the vesting term if the performance targets are considered probable of being achieved.
The expense associated with RSU awards to non-U.S. employees is initially measured at fair value at the grant date and expensed over the
vesting term, subject to mark-to-
market adjustments for changes in the price of IAC common stock, as compensation expense within general and
administrative expense. At December 31, 2010, 2009 and 2008, 0.1 million, less than 0.1 million and 0.1 million international awards were
outstanding, respectively. Cash payments related to awards to international employees, including employees of businesses currently presented
within discontinued operations, totaled $0.1 million, $0.3 million and $3.5 million for the years ended December 31, 2010, 2009 and 2008,
respectively.
95
Options Outstanding
Options Exercisable
Range of Exercise Prices
Outstanding at
December 31,
2010
Weighted
-
Average
Remaining
Contractual
Life in Years
Weighted
-
Average
Exercise
Price
Exercisable at
December 31,
2010
Weighted
-
Average
Remaining
Contractual
Life
Weighted
-
Average
Exercise
Price
(Shares in thousands)
$0.01 to $10.00
71
1.4
6.37
71
1.4
6.37
$10.01 to $20.00
5,446
7.2
16.41
2,163
6.8
16.21
$20.01 to $30.00
5,192
7.2
21.92
1,876
5.8
22.82
$30.01 to $40.00
2,008
6.5
31.42
1,258
4.4
31.07
$40.01 to $50.00
701
4.4
41.80
701
4.4
41.80
13,418
6.9
22.06
6,069
5.7
24.17