Annual report pursuant to Section 13 and 15(d)

Stock Based Compensation (Tables)

v3.19.3.a.u2
Stock Based Compensation (Tables)
12 Months Ended
Dec. 31, 2019
Share-based Payment Arrangement, Noncash Expense [Abstract]  
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions
The assumptions used to value the officer LTIP awards were as follows:
 
2019 Awards
 
2018 Awards
 
2017 Awards
Expected volatility (1)
18.1
%
 
17.9
%
 
18.5% - 18.7%

Risk-free interest rate (2)
2.4
%
 
2.4
%
 
1.5
%
Expected term (3)
3 and 4 years

 
3 and 4 years

 
3 and 4 years

Share price at grant date
$23.00
 
$26.06
 
$30.84 - $32.69

(1) Expected volatility based upon historical volatility of our daily closing share price.
(2) Risk-free interest rate based on U.S. treasury constant maturity bonds on the measurement date with a maturity equal to the market condition performance period.
(3) Expected term based on the market condition performance period.
Schedule of Restricted Share Awards
The activity for the three years ended December 31, 2019 related to our restricted share awards, excluding those subject to market conditions, was as follows:
 
Shares
 
Wtd Avg Grant Fair Value
Unvested at December 31, 2016
107,699

 
$
26.47

Granted
330,639

 
32.46

Vested during year
(194,569
)
 
30.50

Forfeited
(7,075
)
 
27.43

Unvested at December 31, 2017
236,694

 
27.96

Granted
304,087

 
25.98

Vested during year
(224,150
)
 
27.40

Forfeited
(5,621
)
 
29.43

Unvested at December 31, 2018
311,010

 
29.07

Granted
213,782

 
26.26

Vested during year
(236,013
)
 
27.43

Forfeited
(19,396
)
 
26.60

Unvested at December 31, 2019
269,383

 
28.45


Performance Share Units with Market Conditions
Stock based awards with market conditions under the LTIP were granted in 2019, 2018 and 2017 with fair market values, as determined using a Monte Carlo simulation, as follows (in thousands):
 
Grant Date Fair Value
 
2019 Awards
 
2018 Awards
 
2017 Awards
 
Restricted
 
Unrestricted
 
Restricted
 
Unrestricted
 
Restricted
 
Unrestricted
Relative Peer TSR
$
184

 
$
552

 
$
203

 
$
608

 
$
222

 
$
666

Absolute/Index TSR (1)
201

 
602

 
230

 
690

 
100

 
299


Schedule Of Unamortized Value Of Awards With Market Conditions
The unamortized value of these awards with market conditions as of December 31, 2019 was as follows (in thousands):
 
2019 Awards
 
2018 Awards
 
2017 Awards
 
Restricted
 
Unrestricted
 
Restricted
 
Unrestricted
 
Restricted
 
Unrestricted
Relative Peer TSR
$
138

 
$
368

 
$
85

 
$
171

 
$
44

 
$

Absolute/Index TSR (1)
151

 
401

 
96

 
194

 
20

 


______________________________ 
(1)
The performance conditions for the 2019 and 2018 awards were evaluated based on 50% on TSR relative to a defined population of peer companies and 50% on TSR relative to the FTSE NAREIT Diversified Index. The performance condition for the 2017 awards was evaluated based 50% on absolute TSR and 50% on relative TSR.