Company: MWA
Filing Date: 2025-11-19
Form Type: 10-K
Source: 0001350593-25-000066
Chunk: 469

Company: Mueller Water Products, Inc.
Filing Date: 2025-11-19
Form: 10-K
Item: Item 7
Chunk 469
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  Depending on the specific terms of each award, restricted stock units generally vest ratably over the life of the award, usually three years, on each anniversary date of the original grant.  Compensation expense for restricted stock units is recognized between the grant date and the vesting date (or the date on which a participant becomes retirement-eligible, if sooner) on a straight-line basis for each tranche of each award.  Fair values of restricted stock units are determined using the closing price of our common stock on the respective grant date.Restricted stock unit activity under the 2006 Plan is summarized below:Restricted stock unitsWeightedaveragegrant date fair value per unitOutstanding as of September 30, 2022358,732 $12.77 Granted625,518 12.78 Vested(301,864)12.83 Cancelled(109,103)12.00 Outstanding as of September 30, 2023573,283 12.88 Granted301,908 14.91 Vested(367,315)12.99 Cancelled(54,080)12.85 Outstanding as of September 30, 2024453,796 14.15 Granted194,334 26.13 Vested(283,026)13.81 Cancelled(10,770)18.55 Outstanding as of September 30, 2025354,334 $20.85 The total fair value of restricted stock units that vested during the year was $7.3 million for 2025, and $4.7 million for both 2024 and 2023, based on the weighted-average fair value on the vesting date.Performance-Based Awards.  Our performance-based awards consist of performance-based restricted stock units (“PRSUs”).  PRSUs represent a target number of units that may be paid out at the end of a multi-year award cycle consisting of annual performance periods coinciding with our fiscal years.  As determined at the date of award, PRSUs may settle in cash-value equivalent of, or directly in, shares of our common stock.  Settlement will range from zero to two times the number of PRSUs granted, depending on our financial performance against predetermined targets.  The grant date for each year’s performance period is set when the Compensation Committee establishes performance goals for the period, normally within 90 days of the beginning of each performance period.  At the end of the performance period,