乐天堂fun88(中国区)官方网站 Corporation Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

STOCK-BASED COMPENSATION PLANS (Tables)

STOCK-BASED COMPENSATION PLANS (Tables)

12 Months Ended

Dec. 31, 2012

听

Compensation cost from continuing operations under the Stock Incentive Plan

听The compensation cost from continuing operations under the Stock Incentive Plan for our Company and 乐天堂fun88(中国区)官方网站 International were as follows (dollars in millions):

听	听	Year ended December听31,								听

听	听	2012		听	2011		听	2010		听
乐天堂fun88(中国区)官方网站 Corporation compensation cost	听	$	27	听	$	24	听	$	27	听
乐天堂fun88(中国区)官方网站 International compensation cost	听	听	26	听	听	22	听	听	24	听

听听听听听听听

Assumptions used to calculate fair value of each stock option award estimated on the date of grant using the Black-Scholes valuation model

听

听	听	Year ended December听31,								听

听	听	2012		听	2011		听	2010		听
Dividend yield	听	听	3.0	%	听	2.3	%	听	3.0	%
Expected volatility	听	听	65.3	%	听	65.6	%	听	69.0	%
Risk-free interest rate	听	听	1.3	%	听	2.8	%	听	3.1	%
Expected life of stock options granted during the period	听	听	6.6听years	听	听	6.6听years	听	听	6.6听years	听

Summary of stock option activity under the Stock Incentive Plan

听

Option Awards	听	Shares		听	Weighted Average Exercise Price		听	Weighted Average Remaining Contractual Term		听	Aggregate Intrinsic Value		听

听	听	(in thousands)		听	听		听	(years)		听	(in millions)		听
Outstanding at January听1, 2012	听	听	10,345	听	$	13.83	听	听	听	听	听	听	听
Granted	听	听	1,363	听	听	13.41	听	听	听	听	听	听	听
Exercised	听	听	(902	)	听	3.37	听	听	听	听	听	听	听
Forfeited	听	听	(289	)	听	19.48	听	听	听	听	听	听	听
听	听	听		听	听	听	听	听	听	听	听	听	听
Outstanding at December听31, 2012	听	听	10,517	听	听	14.52	听	听	5.4	听	$	42	听
听	听	听		听	听	听	听	听	听	听	听	听	听
Exercisable at December听31, 2012	听	听	8,390	听	听	14.56	听	听	4.5	听	听	39	听
听	听	听		听	听	听	听	听	听	听	听	听	听

听听听听听听听听

Summary of status of nonvested shares under the Stock Incentive Plan

听

听	听	Equity Awards					听	Liability Awards					听

听	听	Shares		听	Weighted Average Grant-Date Fair Value		听	Shares		听	Weighted Average Grant-Date Fair Value		听
听	听	(in thousands)		听	听		听	(in thousands)		听	听		听
Nonvested at January听1, 2012	听	听	2,287	听	$	9.92	听	听	1,100	听	$	9.42	听
Granted	听	听	934	听	听	13.41	听	听	383	听	听	13.41	听
Vested	听	听	(1,402	)(1)	听	7.09	听	听	(760	)	听	6.53	听
Forfeited	听	听	(30	)	听	15.27	听	听	(85	)	听	15.16	听
听	听	听		听	听		听	听		听	听		听
Nonvested at December听31, 2012	听	听	1,789	听	听	13.87	听	听	638	听	听	14.50	听
听	听	听		听	听		听	听		听	听		听

(1): As of December听31, 2012, a total of 516,338 restricted stock units were vested, of which 72,161 vested during 2012. Only 176,327 of these shares have been reflected as vested shares in this table because, in accordance with the restricted stock unit agreements, shares of common stock are not issued for vested restricted stock units until termination of employment.