Share-Based Payment Arrangements
|6 Months Ended|
Dec. 31, 2012
|Share-Based Compensation [Abstract]|
|Disclosure of Compensation Related Costs, Share-based Payments [Text Block]||
In November 2011, our stockholders approved the 2011 Omnibus Incentive Plan, or the 2011 Plan. The 2011 Plan authorizes us to provide equity-based compensation in the form of options, stock appreciation rights, restricted stock and restricted stock units, or RSUs, performance restricted stock units, or PRSUs, other share based awards and performance awards. Awards may be granted to employees, directors and consultants of the Company. The number of shares of our common stock authorized for award under the 2011 Plan was 4.5 million shares. The compensation committee of our board of directors administers the 2011 Plan including selecting participants, the type and terms of awards to be granted and number of shares subject to the awards. As of December 31, 2012, 2.1 million shares of our common stock were reserved and available for grants pursuant to the 2011 Plan.
Restricted Stock Units
During the six months ended December 31, 2012, the compensation committee awarded RSUs covering a total of 1.0 million shares. RSUs generally vest in equal tranches over a service period of up to three years. We have elected to recognize compensation cost on a straight-line basis over the requisite service period for the entire award. The estimated fair value of RSUs granted under the 2011 Plan was determined based on the fair value of our common stock on the date of grant. RSUs awarded to employees in certain foreign countries, covering 54,000 shares, are to be settled in cash at their vesting date and were therefore recorded as liability-classified awards. Liability-classified awards are remeasured to fair value at each reporting date until settlement.
As of December 31, 2012, the total unrecognized compensation cost related to RSUs was $8.2 million and the related weighted average period over which it is expected to be recognized was approximately 2.7 years.
Additional information with respect to our RSUs was as follows:
Performance Restricted Stock Units
During the six months ended December 31, 2012, the compensation committee awarded PRSUs covering a total of 733,000 shares. PRSUs include both a service condition and a performance condition. The number of PRSUs that will vest is based on the Company achieving pre-established annual financial performance targets and generally have a service period of up to three years. Vesting of 0% to 150% of the indicated shares may occur depending on the extent to which targets are achieved. Based on anticipated performance as of December 31, 2012, an additional 293,000 shares are expected to be available for vesting. We have elected to recognize compensation cost on a straight-line basis over the requisite service period for the entire award. The estimated fair value of PRSUs granted under the 2011 Plan was determined based on the fair value of our common stock on the date of grant.
As of December 31, 2012, the total unrecognized compensation cost related to PRSUs was $6.6 million and the related weighted average period over which it is expected to be recognized was approximately 2.7 years.
Additional information with respect to our PRSUs was as follows:
Membership Interest in Parent LLC
On August 15, 2007 certain members of our management were granted Class B membership interests and during the years ended June 30, 2011 and 2010 certain employees were granted Class B-1 membership interests in a limited liability company (parent LLC) that owns 76.5% of our common stock as of December 31, 2012. The parent LLC is a holding company with no operations or employees of its own. The parent LLC has three classes of membership interests, Class A, Class B and Class B-1. Our non-management equity investors, or their affiliates, and certain of our employees that made equity investments in parent LLC are Class A members. Class B and Class B-1 members consist of certain of our employees.
Compensation expense attributable to share-based compensation (for RSUs, PRSUs and membership interests) was $1.4 million ($844,000 after tax) for the six months ended December 31, 2012 and $1.7 million ($1.1 million after tax) for the six months ended December 31, 2011.
The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details.
Reference 1: http://www.xbrl.org/2003/role/presentationRef