Huntsman Corporation Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

STOCK-BASED COMPENSATION PLANS (Tables)

STOCK-BASED COMPENSATION PLANS (Tables)

9 Months Ended

Sep. 30, 2013

STOCK-BASED COMPENSATION PLANS

Compensation cost from continuing operations under the Stock Incentive Plan

The compensation cost from continuing operations under the Stock Incentive Plan for our Company and Huntsman International were as follows (dollars in millions):

		Three months ended September 30,						Nine months ended September 30,

		2013			2012			2013			2012
Huntsman Corporation compensation cost		$	7		$	6		$	21		$	21
Huntsman International compensation cost			7			6			20			20

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

		Three months ended September 30,						Nine months ended September 30,

		2013			2012			2013			2012
Dividend yield			2.9	%		NA			2.8	%		3.0	%
Expected volatility			60.9	%		NA			62.5	%		65.3	%
Risk-free interest rate			1.8	%		NA			1.0	%		1.3	%
Expected life of stock options granted during the period			5.6 years			NA			5.6 years			6.6 years

Summary of stock option activity under the Stock Incentive Plan

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

		(in thousands)						(years)			(in millions)
Outstanding at January 1, 2013			10,517		$	14.52
Granted			1,239			17.87
Exercised			(854	)		4.58
Forfeited			(372	)		21.18

Outstanding at September 30, 2013			10,530			15.52			5.1		$	57

Exercisable at September 30, 2013			8,125			15.32			4.0			47

Summary of status of nonvested shares under the Stock Incentive Plan

		Equity Awards						Liability Awards

		Shares			Weighted Average Grant-Date Fair Value			Shares			Weighted Average Grant-Date Fair Value
		(in thousands)						(in thousands)
Nonvested at January 1, 2013			1,789		$	13.87			638		$	14.50
Granted			803			17.88			270			17.85
Vested			(753	)(1)		14.61			(314	)		14.57
Forfeited			(6	)		17.65			(13	)		15.37

Nonvested at September 30, 2013			1,833			15.31			581			16.03

(1): As of September 30, 2013, a total of 591,106 restricted stock units were vested, of which 74,768 vested during the nine months ended September 30, 2013. These shares have not 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.