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STOCK COMPENSATION PLANS (Tables)
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12 Months Ended |
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Dec. 31, 2012
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| Disclosure of Compensation Related Costs, Share-based Payments [Abstract] |
Ìý
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| Performance Share Awards Outstanding |
Following is a summary of our Performance Share Award Agreements currently outstanding:
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Performance
Share
Plan Year
|
Ìý |
Performance
Shares
Outstanding
|
Ìý |
Ìý |
Ìý |
ForfeituresÌý(1) |
Ìý |
Grant Date |
Ìý |
Performance Period |
2012 |
Ìý |
278,856 |
|
Ìý |
Ìý |
Ìý |
30,984 |
|
Ìý |
March 12, 2012 |
Ìý |
1/1/2012 - 12/31/2014 |
2011 |
Ìý |
169,442 |
|
Ìý |
Ìý |
Ìý |
18,829 |
|
Ìý |
MarchÌý8,Ìý2011 |
Ìý |
1/1/2011 - 12/31/2013 |
2011 |
Ìý |
2,090 |
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Ìý |
Ìý |
Ìý |
— |
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Ìý |
AprilÌý14, 2011 |
Ìý |
1/1/2011 - 12/31/2013 |
2011 |
Ìý |
1,290 |
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Ìý |
Ìý |
Ìý |
— |
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Ìý |
MayÌý2, 2011 |
Ìý |
1/1/2011 - 12/31/2013 |
2010 |
Ìý |
219,056 |
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Ìý |
Ìý |
Ìý |
14,114 |
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Ìý |
MarchÌý8, 2010 |
Ìý |
1/1/2010 - 12/31/2012 |
2010 |
Ìý |
12,480 |
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Ìý |
(2) |
Ìý |
— |
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Ìý |
MarchÌý8, 2010 |
Ìý |
12/31/2009 - 12/31/2013 |
2010 |
Ìý |
590 |
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Ìý |
Ìý |
Ìý |
— |
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Ìý |
AprilÌý12, 2010 |
Ìý |
1/1/2010 - 12/31/2012 |
2010 |
Ìý |
2,130 |
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Ìý |
Ìý |
Ìý |
— |
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Ìý |
AprilÌý26, 2010 |
Ìý |
1/1/2010 - 12/31/2012 |
2010 |
Ìý |
12,080 |
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Ìý |
Ìý |
Ìý |
— |
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Ìý |
MayÌý3, 2010 |
Ìý |
1/1/2010 - 12/31/2012 |
2010 |
Ìý |
550 |
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Ìý |
Ìý |
Ìý |
— |
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Ìý |
JuneÌý14, 2010 |
Ìý |
1/1/2010 - 12/31/2012 |
2010 |
Ìý |
670 |
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Ìý |
Ìý |
Ìý |
— |
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Ìý |
August 16,Ìý2010 |
Ìý |
1/1/2010 - 12/31/2012 |
2009 |
Ìý |
44,673 |
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Ìý |
(2) |
Ìý |
— |
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Ìý |
December 17, 2009 |
Ìý |
12/31/2009 - 12/31/2013 |
ÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌýÌý
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(1) |
The 2012 and 2011 awards are based on assumed forfeitures. The 2010 awards reflect actual forfeitures. |
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(2) |
Represents the target payout as of DecemberÌý31, 2012 related to the 67,009 shares awarded on December 17, 2009 and the 18,720 shares awarded on March 8, 2010 based upon the Compensation Committee’s ability to exercise negative discretion. For accounting purposes, a grant value has not yet been determined for these awards.
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| Equity Grant Shares Outstanding |
For the last three years, Equity Grant shares have been awarded to elected or re-elected nonemployee Directors as follows:
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Year of Grant |
Unrestricted
Equity
Grant
Shares
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Ìý |
Restricted
Equity
Grant
Shares
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Ìý |
Deferred
Equity
Grant
Shares
|
2010 |
3,963 |
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Ìý |
7,926 |
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Ìý |
1,321 |
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2011 |
1,850 |
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Ìý |
6,475 |
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Ìý |
1,850 |
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2012 |
1,498 |
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Ìý |
8,988 |
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Ìý |
2,996 |
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| Disclosure of Share-based Compensation Arrangements By Share-based Payment Award |
The following table summarizes the share-based compensation expense that we recorded for continuing operations in 2012, 2011 and 2010:
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Ìý |
(InÌýMillions,ÌýexceptÌý per
shareÌýamount)
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Ìý |
2012 |
Ìý |
2011 |
Ìý |
2010 |
Cost of goods sold and operating expenses |
$ |
4.0 |
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Ìý |
$ |
2.7 |
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Ìý |
$ |
2.8 |
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Selling, general and administrative expenses |
16.6 |
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Ìý |
13.2 |
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Ìý |
12.7 |
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Reduction of operating income from continuing operations before income
ÌýÌýÌýÌýtaxes and equity income (loss) from ventures
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20.6 |
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Ìý |
15.9 |
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Ìý |
15.5 |
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Income tax benefit |
(7.2 |
) |
Ìý |
(5.6 |
) |
Ìý |
(5.4 |
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Reduction of net income attributable to Cliffs shareholders |
$ |
13.4 |
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Ìý |
$ |
10.3 |
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Ìý |
$ |
10.1 |
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Reduction of earnings per share attributable to Cliffs shareholders: |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Basic |
$ |
0.09 |
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Ìý |
$ |
0.07 |
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Ìý |
$ |
0.07 |
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Diluted |
$ |
0.09 |
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Ìý |
$ |
0.07 |
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Ìý |
$ |
0.07 |
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| Schedule Of Share-Based Payment Award, Employee Stock Purchase Plan, Valuation Assumptions |
The following assumptions were utilized to estimate the fair value for the 2012 performance share grants:
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Grant Date |
Grant Date Market Price |
Ìý |
Average Expected Term (Years) |
Ìý |
Expected Volatility |
Ìý |
Risk-Free Interest Rate |
Ìý |
Dividend Yield |
Ìý |
Fair Value |
Ìý |
Fair Value (Percent of Grant Date Market Price) |
MarchÌý12, 2012 |
$ |
63.62 |
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Ìý |
2.80 |
Ìý |
56.0% |
Ìý |
0.45% |
Ìý |
3.93% |
Ìý |
$ |
77.78 |
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Ìý |
122.26% |
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| Disclosure of Share-based Compensation Arrangements by Share-based Payment Award |
estricted stock, deferred stock allocation and performance share activity under our long-term equity plans and Directors’ Plans are as follows:
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Ìý |
2012 |
Ìý |
2011 |
Ìý |
2010 |
Ìý |
Shares |
Ìý |
Weighted-
Average
Exercise
Price
|
Ìý |
Shares |
Ìý |
Weighted-
Average
Exercise
Price
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Ìý |
Shares |
Ìý |
Weighted-
Average
Exercise
Price
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Restricted awards: |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Outstanding and restricted at beginning of year |
425,166 |
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Ìý |
Ìý |
Ìý |
371,712 |
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Ìý |
Ìý |
Ìý |
290,702 |
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Ìý |
Ìý |
Granted during the year |
151,869 |
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Ìý |
Ìý |
Ìý |
125,059 |
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Ìý |
Ìý |
Ìý |
133,666 |
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Ìý |
Ìý |
Vested |
(161,741 |
) |
Ìý |
Ìý |
Ìý |
(61,330 |
) |
Ìý |
Ìý |
Ìý |
(50,156 |
) |
Ìý |
Ìý |
Cancelled |
(21,507 |
) |
Ìý |
Ìý |
Ìý |
(10,275 |
) |
Ìý |
Ìý |
Ìý |
(2,500 |
) |
Ìý |
Ìý |
Outstanding and restricted at end of year |
393,787 |
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Ìý |
Ìý |
Ìý |
425,166 |
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Ìý |
Ìý |
Ìý |
371,712 |
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Ìý |
Ìý |
Performance shares: |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Outstanding at beginning of year |
877,435 |
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Ìý |
Ìý |
Ìý |
843,238 |
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Ìý |
Ìý |
Ìý |
823,393 |
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Ìý |
Ìý |
Granted during the year (1) |
501,346 |
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Ìý |
Ìý |
Ìý |
263,816 |
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Ìý |
Ìý |
Ìý |
376,524 |
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Ìý |
Ìý |
Issued (2) |
(574,518 |
) |
Ìý |
Ìý |
Ìý |
(215,870 |
) |
Ìý |
Ìý |
Ìý |
(343,321 |
) |
Ìý |
Ìý |
Forfeited/cancelled |
(31,779 |
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Ìý |
Ìý |
Ìý |
(13,749 |
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Ìý |
Ìý |
Ìý |
(13,358 |
) |
Ìý |
Ìý |
Outstanding at end of year |
772,484 |
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Ìý |
Ìý |
Ìý |
877,435 |
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Ìý |
Ìý |
Ìý |
843,238 |
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Ìý |
Ìý |
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Vested or expected to vest as of
ÌýÌýÌýÌýDecemberÌý31, 2012
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743,907 |
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Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Directors’ retainer and voluntary shares: |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Outstanding at beginning of year |
2,611 |
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Ìý |
Ìý |
Ìý |
2,509 |
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Ìý |
Ìý |
Ìý |
4,596 |
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Ìý |
Ìý |
Granted during the year |
1,823 |
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Ìý |
Ìý |
Ìý |
1,815 |
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Ìý |
Ìý |
Ìý |
2,075 |
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Ìý |
Ìý |
Vested |
(1,554 |
) |
Ìý |
Ìý |
Ìý |
(1,713 |
) |
Ìý |
Ìý |
Ìý |
(4,162 |
) |
Ìý |
Ìý |
Outstanding at end of year |
2,880 |
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Ìý |
Ìý |
Ìý |
2,611 |
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Ìý |
Ìý |
Ìý |
2,509 |
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Ìý |
Ìý |
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Reserved for future grants or awards at end
ÌýÌýÌýÌýof year:
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Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Employee plans |
11,568,719 |
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Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Directors’ plans |
94,848 |
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Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Total |
11,663,567 |
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Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
Ìý |
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| Employee Stock Awards Outstanding |
A summary of our outstanding share-based awards as of DecemberÌý31, 2012 is shown below:
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Ìý |
Shares |
Ìý |
Weighted
Average
GrantÌýDate
Fair Value
|
Outstanding, beginning of year |
1,305,212 |
|
Ìý |
|
$43.19 |
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Granted |
655,038 |
|
Ìý |
|
$68.85 |
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Vested |
(737,813 |
) |
Ìý |
|
$11.70 |
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Forfeited/expired |
(53,286 |
) |
Ìý |
|
$76.44 |
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Outstanding, end of year |
1,169,151 |
|
Ìý |
|
$61.81 |
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