Quarterly report pursuant to Section 13 or 15(d)

Stock-Based Compensation (Tables)

v3.21.2
Stock-Based Compensation (Tables)
 9 Months Ended
Sep. 30, 2021
Share-based Payment Arrangement [Abstract]  
Activity Related to Incentive Equity Awards
The activity related to the Company’s incentive equity awards for the nine months ended September 30, 2021 consisted of the following:
RSUs
PSUs
Number of
RSUs
Weighted
Average
Grant Price
Number
of
PSUs
Weighted
Average
Grant Price
Balance as of December 31, 2020 0.9  $ 54.15  0.2  $ 52.93 
Granted (a)
0.7  65.60  0.1  65.21 
Vested
 (0.3) 54.77  —  — 
Canceled
 (0.1) 57.04  —  — 
Balance as of September 30, 2021 1.2 
(b)
 $ 60.24  0.3 
(c)
 $ 57.51 
______________________
(a)Represents awards granted by the Company primarily in February 2021.
(b)RSUs outstanding as of September 30, 2021 are expected to vest over time and have an aggregate unrecognized compensation expense of $57 million, which is expected to be recognized over a weighted average period of 2.7 years.
(c)PSUs outstanding as of September 30, 2021 are expected to vest over time and have an aggregate maximum potential unrecognized compensation expense of $14 million, which may be recognized over a weighted average period of 1.5 years based on attainment of targets.
The activity related to stock options granted by the Company for the nine months ended September 30, 2021 consisted of the following:
Number of Options
Weighted Average Exercise Price
Weighted Average Remaining Contractual Life (Years)
Aggregate Intrinsic Value (in millions)
Outstanding as of December 31, 2020 1.4  $ 55.57 
Granted
 0.1  65.21 
Exercised
 (0.1) 55.99 
Canceled
 (0.1) 55.26 
Outstanding as of September 30, 2021
 1.3  $ 56.12  4.8 $ 27 
Unvested as of September 30, 2021
 0.7 
(a)
 $ 55.47  5.0 $ 15 
Exercisable as of September 30, 2021
 0.6  $ 56.85  4.5 $ 12 
______________________
(a)Unvested options as of September 30, 2021 are expected to vest over time and have an aggregate unrecognized compensation expense of $6 million, which will be recognized over a weighted average period of 2.1 years.
Schedule of Valuation Assumptions
2021 2020
Grant date fair value $19.58 $8.59
Grant date strike price $65.21 $53.40
Expected volatility 40.18% 24.30%
Expected life 4.25 years 4.25 years
Risk-free interest rate 0.40% 1.21%
Projected dividend yield 0.98% 2.40%