General Motors 2011 Annual Report Download - page 179

GENERAL MOTORS COMPANY AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)
participant’s salary accrued on each salary payment date converted to RSUs on a quarterly basis. The awards are fully vested and
nonforfeitable upon grant therefore compensation cost is fully recognized on the date of grant. The awards are settled quarterly over a
three year period commencing on the first anniversary date of grant. Our policy is to issue new shares upon settlement of these
awards.
RSUs
Prior to our public offering, all RSU awards were classified as liability awards as they were payable in cash. In November 2010 we
reclassified all of the RSU liability awards to equity for those awards that became payable in shares in accordance with the plan terms.
The following table summarizes information about our RSUs under the 2009 GMLTIP and GMSSP (RSUs in millions):
Successor
Shares
Weighted-
Average
Grant Date
Fair Value
Weighted-
Average
Remaining
Contractual
Term
RSUs outstanding at December 31, 2010 ................................................ 17.2 $19.03 1.8
Granted .......................................................................... 7.6 $31.18
Settled ........................................................................... (1.2) $18.85
Forfeited or expired ................................................................. (1.1) $22.01
RSUs outstanding at December 31, 2011 ................................................ 22.5 $23.01 1.1
RSUs unvested and expected to vest at December 31, 2011 .................................. 14.0 $23.47 1.5
RSUs vested and payable at December 31, 2011 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8.1 $22.07 —
RSUs granted in the year ended December 31, 2010 ....................................... $19.17
RSUs granted in the period July 10, 2009 through December 31, 2009 ......................... $16.39
We recorded compensation expense of $233 million, $235 million and $23 million for our stock incentive plans in the years ended
December 31, 2011 and 2010 and in the period July 10, 2009 through December 31, 2009. The compensation cost of each RSU
granted under the 2009 GMLTIP and GMSSP that will be settled in equity is based on the fair value of our common stock on the date
of grant or, for those RSUs reclassified from liability to equity-based awards, the fair value of our common stock as of the date of the
public offering.
At December 31, 2011 the total unrecognized compensation expense for nonvested equity awards granted under the 2009 GMLTIP
was $263 million. This expense is expected to be recorded over a weighted-average period of 1.5 years.
The total fair value of RSUs vested was $105 million, $78 million and $19 million in the years ended December 31, 2011 and 2010
and in the period July 10, 2009 through December 31, 2009.
Old GM
Old GM had various stock incentive plans which were administered by either its Executive Compensation Committee of its Board
of Directors or its Vice President of Human Resources. Stock incentive awards consisted of stock options, market-contingent stock
options, stock performance awards and cash-based RSUs. Stock incentive awards, some of which were subject to performance
conditions, were granted at fair value and were subject to various vesting conditions. In connection with the 363 Sale, MLC retained
the responsibility for administering Old GM’s stock incentive plans. We have recorded no compensation expense related to Old GM’s
stock incentive plans subsequent to July 9, 2009.
General Motors Company 2011 Annual Report 177