Company: MTZ
Filing Date: 2025-02-28
Form Type: 10-K
Source: 0000015615-25-000021
Chunk: 2831

Company: MASTEC INC
Filing Date: 2025-02-28
Form: 10-K
Item: Item 8
Chunk 2831
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 also referred to as excess tax benefits or tax deficiencies, are recognized within the provision for income taxes in the period such vesting occurs.Grants of restricted shares are valued based on the closing market share price of MasTec’s common stock as reported on the New York Stock Exchange (the “market price”) on the date of grant.  Compensation expense arising from restricted shares is recognized on a straight-line basis over the vesting period.  Grants of restricted shares have cliff vesting terms, which generally vest over a period of three years.  Upon vesting, some of the underlying shares may be sold to cover the required tax withholdings.  Some participants may choose the net share settlement method to cover withholding tax requirements, in which case shares are not issued, but are treated as common stock repurchases in the consolidated financial statements, as they reduce the number of shares that would have been issued upon vesting.  The Company then pays the corresponding withholding taxes to the appropriate taxing authorities in cash on behalf of the recipient.  Withheld shares, which are valued at the market price on the date of vesting, are recorded as a reduction to additional paid-in capital, and related payments to taxing authorities are reflected within financing activities in the consolidated statements of cash flows.  For the years ended December 31, 2024, 2023 and 2022, shares withheld in connection with stock-based compensation arrangements totaled 33,451, 118,636 and 49,418, respectively, and related payments to taxing authorities totaled $2.9 million, $10.3 million and $4.1 million, respectively.The Company has certain employee stock purchase plans (collectively, “ESPPs”) under which shares of the Company’s common stock are available for purchase by eligible participants.  Under the ESPPs, eligible participants are permitted to purchase MasTec, Inc. common stock at 85% of the fair market value of the shares on the date of purchase, which occurs on the last trading day of each two week offering period.  At the Company’s discretion, share purchases may be satisfied by delivering either newly issued common shares, or common shares reacquired on the open market or in privately negotiated transactions.Collective Bargaining Agreements and Multiemployer PlansCertain of MasTec’s subsidiaries, including certain subsidiaries in Canada, are party to various collective bargaining agreements with unions representing certain of their employees.  These agreements require the subsidiaries party to the agreements to pay specified wages, provide certain benefits to their union employees