Annual report pursuant to Section 13 and 15(d)

CAPITAL STOCK (Tables)

v3.19.3.a.u2
CAPITAL STOCK (Tables)
12 Months Ended
Dec. 31, 2019
Summary of Treasury Stock Activity

Below is a summary of the Company’s treasury stock activity for the years ended December 31, 2017, 2018 and 2019.

 

Number of

Treasury Shares

 

 

Cost

 

Balance at January 1, 2017

 

4,447,002

 

 

$

73,411

 

Restricted stock withholdings (1)

 

68,527

 

 

 

2,943

 

Restricted stock forfeitures (2)

 

10,341

 

 

 

 

Balance at December 31, 2017

 

4,525,870

 

 

$

76,354

 

Restricted stock withholdings (1)

 

75,801

 

 

 

2,905

 

Restricted stock forfeitures (2)

 

24,520

 

 

 

 

Balance at December 31, 2018

 

4,626,191

 

 

$

79,259

 

Restricted stock withholdings (1)

 

59,060

 

 

 

2,308

 

Restricted stock forfeitures (2)

 

26,608

 

 

 

 

Balance at December 31, 2019

 

4,711,859

 

 

$

81,567

 

 

(1)

The Company withheld restricted shares as a result of the election by certain employees to satisfy their tax liabilities upon vesting in restricted stock and restricted stock units.  The Company determined the number of shares to be withheld based upon market values that ranged from $29.17 to $44.44 per share.  

(2)

The Company repurchased forfeited restricted shares at a cost of $0.001 per share in accordance with the 2017 Omnibus Plan.   

Summary of Restricted Stock Activity Below is a summary of restricted stock activity for the years ended December 31, 2017, 2018 and 2019:

 

 

Year Ended

 

 

Year Ended

 

 

Year Ended

 

 

 

December 31, 2017

 

 

December 31, 2018

 

 

December 31, 2019

 

 

 

Shares of

Restricted

Stock

 

 

Weighted

Average

Grant Date

Fair Value

 

 

Shares of

Restricted

Stock

 

 

Weighted

Average

Grant Date

Fair Value

 

 

Shares of

Restricted

Stock

 

 

Weighted

Average

Grant Date

Fair Value

 

Outstanding at January 1

 

 

606,618

 

 

$

33.51

 

 

 

650,581

 

 

$

35.81

 

 

 

704,353

 

 

$

38.68

 

Granted

 

 

246,534

 

 

$

41.70

 

 

 

328,734

 

 

$

38.72

 

 

 

315,899

 

 

$

37.34

 

Vested

 

 

(192,230

)

 

$

36.26

 

 

 

(250,442

)

 

$

31.27

 

 

 

(209,821

)

 

$

41.10

 

Forfeited

 

 

(10,341

)

 

$

33.48

 

 

 

(24,520

)

 

$

38.62

 

 

 

(26,608

)

 

$

37.69

 

Outstanding at December 31

 

 

650,581

 

 

$

35.81

 

 

 

704,353

 

 

$

38.68

 

 

 

783,823

 

 

$

37.53

 

 

Summary of Potential Number of Units that Could Vest Under Restricted Stock Unit Awards

Below is a table summarizing the potential number of units that could vest under restricted stock unit awards granted during the years ended December 31, 2017, 2018 and 2019 at each of the three levels of financial performance (excluding forfeitures):

 

 

 

Granted During the Year Ended December 31,

 

 

 

2017

 

 

2018

 

 

2019

 

 

 

Number of

 

 

Value at

 

 

Number of

 

 

Value at

 

 

Number of

 

 

Value at

 

 

 

Units

 

 

Grant(1)

 

 

Units

 

 

Grant(1)

 

 

Units

 

 

Grant(1)

 

at threshold IRR

 

 

58,545

 

 

$

2,481

 

 

 

76,065

 

 

$

2,967

 

 

 

136,285

 

 

$

5,011

 

at target IRR

 

 

117,089

 

 

$

4,961

 

 

 

152,129

 

 

$

5,938

 

 

 

204,427

 

 

$

7,517

 

at maximum IRR

 

 

175,634

 

 

$

7,442

 

 

 

228,194

 

 

$

8,906

 

 

 

306,651

 

 

$

11,276

 

 

(1)

The grant date fair value for units issued during the year ended December 31, 2017 was $42.37. The grant date fair values for the units issued during the year ended December 31, 2018  ranged from $37.55 to $39.03.  The grant date fair value for units issued during the year ended December 31, 2019 was $36.77 per share.

Summary of Current Financial Performance Thresholds and Vesting Rates

The current financial performance factors and respective vesting rates for each of the 2017, 2018 and 2019 grants are as follows:

 

 

 

Year Ended December 31,

 

 

Percentage of Shares Vesting

 

 

 

2017

 

 

2018

 

 

2019

 

 

 

 

 

Threshold IRR

 

6.0%

 

 

6.0%

 

 

6.0%

 

 

33.3%

 

Target IRR

 

8.0%

 

 

8.0%

 

 

8.0%

 

 

66.6%

 

Maximum IRR

 

14.0%

 

 

14.0%

 

 

14.0%

 

 

100.0%

 

Restricted Stock  
Summary of Restricted Stock and Restricted Stock Unit Award Activity

Below is a summary of restricted stock award activity recorded for the periods indicated.

 

 

 

Year Ended December 31,

 

 

 

2017

 

 

2018

 

 

2019

 

Compensation expense recognized during the period

 

$

8,384

 

 

$

9,655

 

 

$

10,185

 

Fair value of restricted shares that vested during the period

 

$

8,172

 

 

$

9,501

 

 

$

8,024

 

Income tax deduction upon vesting of restricted stock awards

 

$

2,667

 

 

$

1,744

 

 

$

1,516

 

Restricted Stock Units (RSUs)  
Summary of Restricted Stock and Restricted Stock Unit Award Activity

Below is a summary of activity for restricted stock unit awards for the periods indicated:

 

 

 

Year Ended December 31,

 

 

 

2017

 

 

2018

 

 

2019

 

Number of restricted stock unit awards that vested during the period

 

 

97,115

 

 

 

127,084

 

 

 

90,895

 

Fair value of restricted stock unit awards that vested during the period

 

$

4,155

 

 

$

4,846

 

 

$

3,658

 

Accumulated dividends paid upon vesting of restricted stock unit awards

 

$

558

 

 

$

526

 

 

$

386

 

Compensation expense recognized during the period

 

$

4,297

 

 

$

4,681

 

 

$

4,430

 

Income tax benefit recognized upon vesting of restricted stock unit awards

 

$

1,745

 

 

$

708

 

 

$

397