Quarterly report pursuant to Section 13 or 15(d)

Equity Incentive Plan (Notes)

v2.4.0.8
Equity Incentive Plan (Notes)
 9 Months Ended
Sep. 30, 2014
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]
Equity Incentive Plan
On May 21, 2013 and May 20, 2014, the Company granted 36,335 and 52,180 shares of restricted common stock, respectively, to its independent directors pursuant to the Plan. The estimated fair value of these awards was $11.56 and $10.31 per share, respectively, based on the closing price of the Company’s common stock on such date. The shares underlying the grants vested immediately.
On May 29, 2013 and February 5, 2014, the Company granted 1,020,969 and 1,103,162 shares of restricted common stock, respectively, to its executive officers and other key employees of PRCM Advisers pursuant to the Plan. The estimated fair value of these awards was $11.23 and $9.79 per share on grant date, based on the closing market price of the Company’s common stock on the NYSE on such date. However, as the cost of these awards is measured at fair value at each reporting date based on the price of the Company’s stock as of period end in accordance with ASC 505, Equity, or ASC 505, the fair value of these awards as of September 30, 2014 was $9.67 per share based on the closing market price of the Company’s common stock on the NYSE on such date. The shares underlying the grants vest in three equal annual installments commencing on the date of the grant, as long as such grantee complies with the terms and conditions of his or her applicable restricted stock award agreement.
The following table summarizes the activity related to restricted common stock for the nine months ended September 30, 2014 and 2013:
 
Nine Months Ended September 30,
 
2014
 
2013
(in thousands)
Shares
 
Weighted Average Grant Date Fair Market Value
 
Shares
 
Weighted Average Grant Date Fair Market Value
Outstanding at Beginning of Period
1,024,454

 
$
11.22

 
25,325

 
$
9.69

Granted
1,155,342

 
9.81

 
1,057,304

 
11.24

Vested
(443,088
)
 
(11.12
)
 
(58,170
)
 
(10.80
)
Forfeited
(4,597
)
 
(9.79
)
 
—

 
—

Outstanding at End of Period
1,732,111

 
$
10.36

 
1,024,459

 
$
11.23



For the three and nine months ended September 30, 2014, the Company recognized compensation costs related to restricted common stock of $2.0 million and $8.9 million, respectively. For the three and nine months ended September 30, 2013, the Company recognized compensation costs related to restricted common stock of $1,494,260 and $2,493,028, respectively.