Southwest Airlines 2015 Annual Report Download - page 110

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Aggregated information regarding the Company’s RSUs and PBRSUs is summarized below:
All Restricted Stock Units
Units (000)
Wtd. Average
Fair Value
(per share)
Outstanding December 31, 2012, Unvested 2,876 $ 9.57
Granted 1,139 14.34
Vested (1,263) 10.24
Surrendered (168) 9.11
Outstanding December 31, 2013 2,584 11.38
Granted 834 (a) 24.93
Vested (1,239) 11.05
Surrendered (102) 13.18
Outstanding December 31, 2014 2,077 16.92
Granted 561 (b) 45.80
Vested (1,095) 13.33
Surrendered (58) 25.49
Outstanding December 31, 2015, Unvested 1,485 $ 30.17
(a) Includes 198 thousand shares of PBRSUs
(b) Includes 183 thousand shares of PBRSUs
In addition, the Company granted approximately 28 thousand shares of unrestricted stock at a weighted
average grant price of $41.27 in 2015, approximately 36 thousand shares at a weighted average grant
price of $24.91 in 2014, and approximately 63 thousand shares at a weighted average grant price of
$14.34 in 2013, to members of its Board of Directors.
A remaining balance of up to 23 million shares of the Company’s common stock may be issued
pursuant to grants under the 2007 Equity Plan.
Stock Options
The Company has stock options outstanding, which were granted prior to 2013, with an exercise price
equal to the fair value of the Company’s common stock on the date of grant. The Company determined
fair value of stock options using the Black-Scholes option valuation model. As of December 31, 2015,
there were 822 thousand outstanding stock option awards, all of which are vested and exercisable, with
a weighted average exercise price of $13.44.
Employee Stock Purchase Plan
Under the amended 1991 Employee Stock Purchase Plan (ESPP), which has been approved by
Shareholders, the Company is authorized to issue up to a remaining balance of 10 million shares of the
Company’s common stock to Employees of the Company. These shares may be issued at a price equal
to 90 percent of the market value at the end of each monthly purchase period. Common stock
purchases are paid for through periodic payroll deductions. For the years ended December 31, 2015,
102