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Annual report pursuant to Section 13 and 15(d)

STOCK COMPENSATION PLANS (Tables)

v3.19.3.a.u2
STOCK COMPENSATION PLANS (Tables)
 12 Months Ended
Dec. 31, 2019
Share-based Payment Arrangement [Abstract] Ìý
Approved Grants Equity Plans [Table Text Block]
A summary of our outstanding share-based award activity for the year ended DecemberÌý31, 2019 is as follows:
Ìý
Shares
Ìý
Weighted Average
GrantÌýDate Fair Value
Outstanding, beginning of year
6,792,201

Ìý
$
6.90

Granted
1,285,419

Ìý
$
14.18

Vested and issued
(3,199,270
)
Ìý
$
2.20

Forfeited/canceled
(121,923
)
Ìý
$
12.21

Outstanding, end of year
4,756,427

Ìý
$
11.90


Stock Incentive Plans Disclosure [Table Text Block]
Following is a summary of our performance share award agreements outstanding as of December 31, 2019:
Performance
Share
Plan Year
Ìý
Performance Shares Granted
Ìý
Forfeitures to Date
Ìý
Expected to Vest
Ìý
Grant Date
Ìý
Grant Date Fair Value
Ìý
Performance Period
2019
Ìý
572,104

Ìý
15,879

Ìý
556,225

Ìý
2/19/2019
Ìý
$
18.31

Ìý
1/1/2019 - 12/31/2021
2018
Ìý
675,599

Ìý
35,320

Ìý
640,279

Ìý
2/21/2018
Ìý
$
11.93

Ìý
1/1/2018 - 12/31/2020
2017
Ìý
249,106

Ìý
—

Ìý
249,106

Ìý
6/26/2017
Ìý
$
10.74

Ìý
5/31/2017 - 12/31/2019
2017
Ìý
553,725

Ìý
63,457

Ìý
490,268

Ìý
2/21/2017
Ìý
$
19.69

Ìý
1/1/2017 - 12/31/2019

Incentive Compensation and Other Benefit Plans for Employees and Directors [Table Text Block]
For the last three years, grants of restricted and/or deferred shares have been awarded to elected or re-elected nonemployee directors as follows:
Year of Grant
Ìý
Restricted Shares
Ìý
Deferred Shares
2019
Ìý
86,477

Ìý
23,659

2018
Ìý
92,718

Ìý
17,170

2017
Ìý
93,359

Ìý
17,289


Share-based Payment Arrangement, Cost by Plan [Table Text Block] The following table summarizes the share-based compensation expense that we recorded in continuing operations:
Ìý
(InÌýMillions,Ìýexcept per
shareÌýamounts)
Ìý
2019
Ìý
2018
Ìý
2017
Cost of goods sold and operating expenses
$
2.0

Ìý
$
1.7

Ìý
$
1.9

Selling, general and administrative expenses
15.6

Ìý
13.4

Ìý
16.3

Reduction of operating income from continuing operations before
ÌýÌýÌýÌýincome taxes
17.6

Ìý
15.1

Ìý
18.2

Income tax benefit1
(3.7
)
Ìý
—

Ìý
—

Reduction of net income from continuing operations attributable to Cliffs shareholders
$
13.9

Ìý
$
15.1

Ìý
$
18.2

Reduction of continuing operations earnings per common share attributable to Cliffs shareholders:
Ìý
Ìý
Ìý
Ìý
Ìý
Basic
$
0.05

Ìý
$
0.05

Ìý
$
0.06

Diluted
$
0.05

Ìý
$
0.05

Ìý
$
0.06

Ìý
Ìý
Ìý
Ìý
Ìý
Ìý
1 No income tax benefit in 2018 and 2017 due to the full valuation allowance.

Disclosure of Share-based Compensation Arrangements by Share-based Payment Award [Table Text Block]
Stock option, restricted awards and performance share activity under our long-term equity plans and Directors’ Plans are as follows:
Ìý
2019
Ìý
2018
Ìý
2017
Ìý
Shares
Ìý
Shares
Ìý
Shares
Stock options:
Ìý
Ìý
Ìý
Ìý
Ìý
Outstanding at beginning of year
563,230

Ìý
599,870

Ìý
599,870

Exercised
—

Ìý
(36,640
)
Ìý
—

Forfeited/canceled
—

Ìý
—

Ìý
—

Outstanding at end of year
563,230

Ìý
563,230

Ìý
599,870

Restricted awards:
Ìý
Ìý
Ìý
Ìý
Ìý
Outstanding and restricted at beginning of year
4,804,248

Ìý
4,776,483

Ìý
5,461,783

Granted during the year
682,240

Ìý
795,487

Ìý
1,196,731

Vested and issued
(3,168,195
)
Ìý
(627,567
)
Ìý
(1,813,315
)
Forfeited/canceled
(60,974
)
Ìý
(140,155
)
Ìý
(68,716
)
Outstanding and restricted at end of year
2,257,319

Ìý
4,804,248

Ìý
4,776,483

Performance shares:

Ìý

Ìý

Outstanding at beginning of year
1,424,723

Ìý
1,848,312

Ìý
1,368,469

Granted during the year
572,104

Ìý
675,599

Ìý
802,831

Vested and issued
—

Ìý
(489,953
)
Ìý
—

Forfeited/canceled
(60,949
)
Ìý
(609,235
)
Ìý
(322,988
)
Outstanding at end of year
1,935,878

Ìý
1,424,723

Ìý
1,848,312

Vested or expected to vest as of DecemberÌý31, 20191
4,756,427

Ìý
Ìý
Ìý
Ìý
Directors’ retainer and voluntary shares:

Ìý

Ìý

Outstanding at beginning of year
—

Ìý
—

Ìý
—

Granted during the year
31,075

Ìý
27,300

Ìý
25,476

Vested and issued
(31,075
)
Ìý
(27,300
)
Ìý
(25,476
)
Outstanding at end of year
—

Ìý
—

Ìý
—

Reserved for future grants or awards at end of year:
Ìý
Ìý
Ìý
Ìý
Ìý
Employee plans
9,931,740

Ìý
Ìý
Ìý
Ìý
Directors’ plans
389,692

Ìý
Ìý
Ìý
Ìý
Total
10,321,432

Ìý
Ìý
Ìý
Ìý
Ìý
Ìý
Ìý
Ìý
Ìý
Ìý
1ÌýWe assume all shares will vest until the date of vesting or forfeiture.

Following is a summary of approved grants by the Compensation Committee:
Grant Year
Ìý
Vesting Date
Ìý
Plan Issued Under
Ìý
Restricted Stock Units Granted
Ìý
Performance Shares Granted
2019
Ìý
12/31/2021
Ìý
A&R 2015 Equity Plan
Ìý
572,104

Ìý
572,104

2018
Ìý
12/31/2020
Ìý
A&R 2015 Equity Plan
Ìý
685,599

Ìý
675,599

2017
Ìý
12/31/2019
Ìý
A&R 2015 Equity Plan
Ìý
532,358

Ìý
249,106

2017
Ìý
12/31/2019
Ìý
Amended 2015 Equity Plan
Ìý
553,725

Ìý
553,725