Radian Group Inc. Notes to Consolidated Financial Statements - (Continued) In addition to the 2008 Equity Plan, we have granted long-term incentive awards pursuant to a long-term performance- based incentive cash program. This program is conducted pursuant to two plans, the Radian Group Inc. 2008 Long-Term  Performance Cash Plan (the “Of ficer LTI Plan”) and the 2008 Executive Long-Term Incentive Cash Plan (the “Executive LTI  Plan” and together with the Of ficer LTI Plan, the “Cash Based LTI Plans”). Participants in the Cash Based LTI Plans include  certain officers of Radian Group and its subsidiaries. In 2008, we granted an award under the Of ficer LTI Plan for which  performance was based on our stock price growth (above a minimum threshold price), with a range of possible payouts  corresponding to ranges of stock prices achieved. See “ Officer LTI Plan (Cash Settled)”  below .  In addition to the 2008 award  under the Officer LTI Plan, the Compensation and Human Resources Committee of our board of directors (the “Compensation  Committee”) has granted cash incentive awards under the Cash Based L TI Plans that are not directly correlated with our stock  price, but contain discretionary payments based on various fundamental business metrics. See “ Other Compensation  Programs”  below.  We use the Monte Carlo valuation model to determine the fair value of all cash settled awards where stock price is a  factor in determining the vesting, as well as for cash or stock settled performance awards where there exists a similar stock  price based market condition (we refer to these awards as “Market Condition  Awards”). The Monte Carlo valuation model  incorporates multiple input variables, including expected life, volatility , risk-free rate of return and dividend yield for each  award to estimate the probability that a vesting condition will be achieved. In determining these assumptions for the Monte  Carlo valuations, we consider historic and observable market data.  Depending on certain characteristics of the awards granted under the various compensation programs noted above, they  are accounted for as either liabilities or equity instruments.  The following table summarizes awards outstanding and  compensation expense recognized for each type of market condition award as of and for the periods indicated:  (1)  For purposes of calculating compensation cost recognized, we consider awards ef fectively vested (and we recognize the  full compensation costs) when grantees become retirement eligible. Under the terms of our awards, legal vesting upon  retirement occurs when the grantee actually separates from service, except for awards granted to certain senior executives  in which case vesting remains dependent on performance for the full term of the awards notwithstanding an executive’ s  early retirement. 251 ______________  December 31, ($ in thousands) 2012 2011 2010 Market Condition Compensation Programs Liability Recorded/ Equity Instruments Outstanding Compensation Cost Recognized (1) Liability Recorded/ Equity Instruments Outstanding Compensation Cost Recognized (1) Liability Recorded/ Equity Instruments Outstanding Compensation Cost Recognized (1) Liabilities: RSUs — Cash Settled . . . . . . . . . . $ 26,164 $ 21,301 $ 5,229 $ 480 $ 4,788 $ 1,774 SARs — Cash Settled . . . . . . . . . . 4,602 3,498 1,156 (5,229) 6,430 3,951 Officer LTI Plan . . . . . . . . . . . . . — — — 32 8,397 5,618 Liabilities . . . . . . . . . . . . . . . $ 30,766 24,799 $ 6,385 (4,717) $ 19,615 11,343 Equity: Stock Options . . . . . . . . . . . . . . . 4,402,344 1,787 3,472,762 1,558 3,227,411 2,214 Phantom Stock . . . . . . . . . . . . . . 343,094 4 518,441 5 518,441 3,183 RSUs — Equity Settled . . . . . . . . . 990,881 1,466 505,183 1,717 216,300 1,272 Restricted Stock . . . . . . . . . . . . . 131,374 57 324,778 120 399,575 2,036 Employee Stock Purchase Plan (“ESPP”) . . . . . . . . . . . . . . . . . . . 253 348 321 Equity . . . . . . . . . . . . . . . . . . 3,567 3,748 9,026 Total all share-based plans . . . . . . . . . $ 28,366 $ (969) $ 20,369