Annual report pursuant to Section 13 and 15(d)

SHARE-BASED COMPENSATION (Tables)

v3.6.0.2
SHARE-BASED COMPENSATION (Tables)
 12 Months Ended
Dec. 31, 2016
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Weighted average assumptions used in the option pricing model
The following table presents the weighted average assumptions used in the option-pricing model at the grant date for options granted in the three years ended December 31, 2016, 2015, and 2014:
 
 
2016
 
2015
 
2014
Assumptions
 
 
 
 
 
Risk-free interest rate
1.63
%
 
2.13
%
 
1.69
%
Expected dividend yield
3.18

 
2.57

 
2.61

Expected volatility of Huntington’s common stock
30.0

 
29.0

 
32.3

Expected option term (years)
6.5

 
6.5

 
5

Weighted-average grant date fair value per share
$
2.17

 
$
2.57

 
$
2.13

Share based compensation expense and related tax benefit
The following table presents total share-based compensation expense and related tax benefit for the three years ended December 31, 2016, 2015, and 2014:
(dollar amounts in thousands)
2016
 
2015
 
2014
Share-based compensation expense
$
65,608

 
$
51,415

 
$
43,666

Tax benefit
22,496

 
17,618

 
14,779

Stock option activity and related information
Huntington’s stock option activity and related information for the year ended December 31, 2016, was as follows:
(amounts in thousands, except years and per share amounts)
Options
 
Weighted-
Average
Exercise Price
 
Weighted-
Average
Remaining
Contractual Life (Years)
 
Aggregate
Intrinsic Value
Outstanding at January 1, 2016
16,121

 
$
7.25

 
 
 
 
Granted
1,596

 
10.06

 
 
 
 
Exercised
(2,372
)
 
5.90

 
 
 
 
Forfeited/expired
(471
)
 
15.73

 
 
 
 
Outstanding at December 31, 2016
14,874

 
$
7.50

 
3.6
 
$
85,159

Expected to vest (1)
3,656

 
$
9.59

 
7.1
 
$
13,267

Exercisable at December 31, 2016
10,985

 
$
6.75

 
2.4
 
$
71,114

(1)
The number of options expected to vest includes an estimate of 233 thousand shares expected to be forfeited.
Schedule of restricted stock, restricted stock units, and performance shares
The following table summarizes the status of Huntington’s restricted stock units and performance share awards as of December 31, 2016, and activity for the year ended December 31, 2016:
 
Restricted Stock Awards
 
Restricted Stock Units
 
Performance Share Awards
(amounts in thousands, except per share amounts)
Quantity
 
Weighted-
Average
Grant Date
Fair Value
Per Share
 
Quantity
 
Weighted-
Average
Grant Date
Fair Value
Per Share
 
Quantity
 
Weighted-
Average
Grant Date
Fair Value
Per Share
Nonvested at January 1, 2016
7

 
$
9.53

 
12,170

 
$
9.11

 
2,893

 
$
8.99

Granted
—

 
—

 
6,526

 
9.69

 
981

 
9.04

Assumed
916

 
9.68

 
—

 
—

 
807

 
9.68

Vested
(241
)
 
9.68

 
(3,142
)
 
7.91

 
(1,307
)
 
8.05

Forfeited
(26
)
 
9.68

 
(821
)
 
9.52

 
(67
)
 
9.78

Nonvested at December 31, 2016
656

 
$
9.68

 
14,733

 
$
9.61

 
3,307

 
$
9.63