Humana 2012 Annual Report Download - page 125

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Humana Inc.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
Restricted Stock
Restricted stock is granted with a fair value equal to the market price of our common stock on the date of
grant and generally vest three years from the date of grant. The weighted-average grant date fair value of our
restricted stock was $85.29 in 2012, $67.70 in 2011, and $49.29 in 2010. Activity for our restricted stock was as
follows for the year ended December 31, 2012:
Shares
Weighted-
Average
Grant-Date
Fair Value
(shares in thousands)
Nonvested restricted stock at December 31, 2011 ......... 2,916 $53.93
Granted ...................................... 1,002 85.29
Vested ....................................... (861) 43.70
Forfeited ..................................... (103) 63.89
Nonvested restricted stock at December 31, 2012 ......... 2,954 $67.29
The fair value of shares vested during the years ended was $75 million in 2012, $36 million in 2011, and
$30 million in 2010. Total compensation expense not yet recognized related to nonvested restricted stock was
$70 million at December 31, 2012. We expect to recognize this compensation expense over a weighted-average
period of approximately 1.9 years. There are no other contractual terms covering restricted stock once vested.
13. EARNINGS PER COMMON SHARE COMPUTATION
Detail supporting the computation of basic and diluted earnings per common share was as follows for the
years ended December 31, 2012, 2011 and 2010:
2012 2011 2010
(dollars in millions, except per
common share results, number of
shares in thousands)
Net income available for common stockholders ........................ $ 1,222 $ 1,419 $ 1,099
Weighted-average outstanding shares of common stock used to compute
basic earnings per common share ................................. 161,484 165,413 167,782
Dilutive effect of:
Employee stock options ....................................... 576 959 676
Restricted stock ............................................. 1,397 1,455 1,340
Shares used to compute diluted earnings per common share ............... 163,457 167,827 169,798
Basic earnings per common share ................................... $ 7.56 $ 8.58 $ 6.55
Diluted earnings per common share .................................. $ 7.47 $ 8.46 $ 6.47
Number of antidilutive stock options and restricted stock awards excluded
from computation .............................................. 754 864 3,820
115