v3.25.1
Note 9 - Stockholders' Equity
 3 Months Ended
Mar. 31, 2025
Notes to Financial Statements  
Equity [Text Block]

NOTE 9 – STOCKHOLDERS’ EQUITY

 

Equity Compensation Plans

 

The Company's Omnibus Incentive Plan permits the issuance of stock options, stock appreciation rights, restricted stock, restricted stock units, performance shares, performance units and other stock-based and cash-based awards. Since the adoption of the plan, the Company’s Board of Directors has periodically granted stock options, restricted stock awards, restricted stock units and performance share units to directors and employees, but no other types of awards have been granted under the plan. Options and stock appreciation rights may not be granted at prices less than the fair market value of our common stock on the date of the grant, nor for a term exceeding ten years. For employees, vesting generally occurs over a three-year period on the anniversaries of the date specified in the employees’ respective agreements, subject to accelerated vesting under certain circumstances set forth in the agreements, and in any event, no less than one year. Vesting for directors generally occurs on the one-year anniversary of the grant date. A Black-Scholes option-pricing model is used to estimate the fair value of the stock options. A Monte Carlo simulation is completed to estimate the fair value of performance share unit awards with a stock price performance component. We expense the fair value of all equity grants, including performance share unit awards, on a straight-line basis over the vesting period. In 2025, 294,607 performance share unit awards, 4,224 restricted stock awards and 624,228 shares of restricted stock units have been granted to executive management, members of our Board of Directors and employees. Additional performance share unit awards of 101,107 and 35,427 were granted during the first quarter of 2025 and 2024, respectively, based on performance above the specified target of achievement for performance share unit awards granted in 2021 and 2020, respectively. 

 

Accumulated Other Comprehensive Loss

 

Accumulated other comprehensive loss in the accompanying condensed consolidated balance sheets consists of the following (in millions):

 

  

March 31,

  

December 31,

 
  

2025

  

2024

 

Currency translation adjustments

 $(203) $(236)

Other adjustments

  (1)  (1)

Accumulated other comprehensive loss

 $(204) $(237)

 

Earnings per Share 

 

Earnings per share are calculated in the table below (in millions, except per share amounts):

 

  

Three Months Ended

 
  

March 31,

  

March 31,

 
  

2025

  

2024

 

Numerator

        

Net income from continuing operations

 $8  $20 

Less: Dividends on Series A Preferred Stock

  —   6 

Net income from continuing operations attributable to common stockholders used in earnings per share

  8   14 

Loss from discontinued operations, net of tax

  (30)  (1)

Net (loss) income attributable to common stockholders

 $(22) $13 
         

Denominator

        

Average basic shares outstanding

  85.7   84.7 

Effect of dilutive securities

  —   1.4 

Average diluted shares outstanding

  85.7   86.1 
         

Basic earnings (loss) per common share:

        

Income from continued operations

 $0.09  $0.16 

Loss from discontinued operations

  (0.35)  (0.01)

Basic (loss) earnings per common share

 $(0.26) $0.15 
         

Diluted earnings (loss) per common share:

        

Income from continued operations

 $0.09  $0.16 

Loss from discontinued operations

  (0.35)  (0.01)

Diluted (loss) earnings per common share

 $(0.26) $0.15 

 

Equity awards and shares of Preferred Stock are disregarded in the calculation of diluted earnings per share if they are determined to be anti-dilutive. For the three months ended March 31, 2025, we had 1.7 million anti-dilutive restricted stock units and performance units. For the three months ended March 31, 2024, we had approximately 0.9 million anti-dilutive stock options, restricted stock units and performance units. For the three months ended March 31, 2024, all of the shares of the Preferred Stock were anti-dilutive.