Final CNS AR 2020 - Flipbook - Page 88
COHEN & STEERS, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
9. Stock-Based Compensation
Amended and Restated Stock Incentive Plan
The Amended and Restated Cohen & Steers, Inc. Stock Incentive Plan (the SIP) provides for the issuance of Restricted
Stock Units (RSUs), stock options and other stock-based awards to eligible employees and directors. A total of 20.0 million
shares of common stock may be granted under the SIP. The board of directors is authorized to increase the number of shares
available for issuance under the SIP, subject to shareholder approval. At December 31, 2020, RSUs with respect to
approximately 17,248,000 shares of common stock had been issued under the SIP. As of December 31, 2020, there was
$50,801,000 of unearned compensation related to unvested RSUs that has not yet been recognized in the consolidated
statement of operations. The Company expects to recognize this expense over approximately the next three years. In January
2021, the Company granted approximately 691,000 RSUs under the SIP with a grant date fair value of approximately
$46,030,000 which generally vest over a four-year period.
Restricted Stock Units
Vested Restricted Stock Unit Grants
The Company grants awards of vested RSUs to the non-management directors of the Company pursuant to the SIP. The
directors are entitled to receive delivery of the underlying common stock on the third anniversary of the date of grant.
Dividends declared during the period are paid to the directors in cash. In connection with the grant of these vested RSUs, the
Company recorded non-cash stock-based compensation expense of approximately $699,000, $614,000 and $626,000 for the
years ended December 31, 2020, 2019 and 2018, respectively.
Unvested Restricted Stock Unit Grants
From time to time, the Company grants awards of unvested RSUs to certain employees pursuant to the SIP. The fair
value at the date of grant is expensed on a straight-line basis over the applicable service periods, which is generally four
years. Dividends declared by the Company are paid in additional RSUs and are forfeitable until they are delivered. The
dividend equivalent RSUs will generally vest and be delivered on the fourth anniversary of the original grant date. The
Company recorded stock-based compensation expense, net of forfeitures, of approximately $4,595,000, $4,443,000 and
$4,216,000 for the years ended December 31, 2020, 2019 and 2018, respectively.
Incentive Bonus Plans for Employees of the Company
The Company has implemented a program for employees which, based upon compensation levels, automatically
allocates a portion of their year-end bonuses in the form of unvested RSUs (Mandatory Program). The fair value at the date of
grant of the RSUs under the Mandatory Program is expensed on a straight-line basis over the vesting period, which will
generally vest and be delivered ratably over four years. Dividends declared by the Company are paid in additional RSUs and
are forfeitable until they are delivered. The dividend equivalent RSUs will generally vest and be delivered on the fourth
anniversary of the original grant date. The Company recorded stock-based compensation under the Mandatory Program, net
of forfeitures, of approximately $23,884,000, $22,637,000 and $19,710,000 for the years ended December 31, 2020, 2019
and 2018, respectively.