Quarterly report pursuant to Section 13 or 15(d)

Equity

v3.7.0.1
Equity
6 Months Ended
Jun. 30, 2017
Equity [Abstract]  
Equity
11. Equity

Dividends and Distributions

Our board of directors declared the following dividends in 2016 and 2017:

 

Announced Date

   Record Date      Pay Date      Amount per
share
 

3/15/16

     3/30/16        4/7/16      $ 0.30  

6/07/16

     7/06/16        7/14/16      $ 0.30  

9/15/16

     10/05/16        10/13/16      $ 0.30  

12/13/16

     12/29/16      1/12/17      $ 0.33  

3/15/17

     4/05/17        4/13/17      $ 0.33  

6/01/17

     7/06/17        7/13/17      $ 0.33  

 

* This dividend was treated as a distribution in 2017 for tax purposes.

We have an effective universal shelf registration statement registering the potential offer and sale, from time to time and in one or more offerings, of any combination of our common stock, preferred stock, depositary shares and warrants and rights (collectively referred to as the “securities”). We may offer the securities directly, through agents, or to or through underwriters by means of ordinary brokers’ transactions on the NYSE or otherwise at market prices prevailing at the time of sale or at negotiated prices and may include “at the market” (“ATM”) offerings or sales “at the market,” to or through a market maker or into an existing trading market on an exchange or otherwise. We completed the following public offerings and ATM offerings of our common stock in 2016 and 2017:

 

Closing Date

   Common Stock
Offerings
   Shares Issued (1)      Price
Per
Share
    Net
Proceeds (2)
 
          (amounts in millions, except per share amounts)  

6/21/16

   Public Offering      4.600      $ 19.78 (3)    $ 91  

5/9/16 to 6/30/16

   ATM      0.065      $ 20.31 (4)    $ 1  

11/09/16

   Public Offering      4.025      $ 19.28 (3)    $ 77  

12/13/16 to 12/29/16

   ATM      0.407      $ 19.47 (4)    $ 8  

1/20/17 to 2/2/17

   ATM      0.197      $ 19.18 (4)    $ 4  

3/10/17

   Public Offering      3.450      $ 18.73 (3)    $ 64  

5/17/17 to 6/22/17

   ATM      1.376      $ 22.71 (4)    $ 31  

 

(1)  Includes shares issued in connection with the exercise of the underwriters’ option to purchase additional shares.
(2)  Net proceeds from the offerings is shown after deducting underwriting discounts, commissions and other offering costs.
(3)  Represents the price per share at which the underwriters in our public offerings purchased shares from our company.
(4)  Represents the average price per share at which investors in our ATM offerings purchased shares from our company.

 

Awards of Shares of Restricted Common Stock under our 2013 Plan

We have issued awards with service, performance and market conditions. During the six months ended June 30, 2017, our board of directors awarded employees and directors 707,648 shares of restricted stock and restricted stock units that vest in 2017 to 2020. As of June 30, 2017, as it relates to previously issued awards with performance conditions, we have concluded that it is probable that the performance conditions will be met.

For the three and six months ended June 30, 2017, we recorded $3 million and $6 million, respectively, of equity-based compensation expense as compared to $3 million and $5 million, respectively, for the three and six months ended June 30, 2016. The total unrecognized compensation expense related to awards of shares of restricted stock and restricted stock units was approximately $17 million as of June 30, 2017. We expect to recognize compensation expense related to these awards over a weighted-average term of approximately two years. A summary of the unvested shares of restricted common stock that have been issued is as follows:

 

     Restricted
Shares of
Common Stock
     Weighted Average
Share Price
     Value
(in millions)
 

Ending Balance — December 31, 2015

     1,248,069      $ 15.16      $ 18.9  

Granted

     661,055        18.62        12.3  

Vested

     (716,264      14.03        (10.0

Forfeited

     (11,188      17.25        (0.2
  

 

 

    

 

 

    

 

 

 

Ending Balance — December 31, 2016

     1,181,672      $ 17.76      $ 21.0  

Granted

     451,614        19.04        8.6  

Vested

     (216,657      14.12        (3.1

Forfeited

     —        —        —  
  

 

 

    

 

 

    

 

 

 

Ending Balance — June 30, 2017

     1,416,629      $ 18.72      $ 26.5  
  

 

 

       

 

 

 

 

A summary of the unvested shares of restricted stock units that have market based vesting conditions that have been issued is as follows:

 

     Restricted Stock
Units
     Weighted Average
Share Price
     Value
(in millions)
 

Ending Balance — December 31, 2016

     —        —        —  

Granted

     256,034      $ 18.99      $ 4.9  

Vested

     —        —        —  

Forfeited

     —        —        —  
  

 

 

    

 

 

    

 

 

 

Ending Balance — June 30, 2017

     256,034      $ 18.99      $ 4.9