Annual report pursuant to Section 13 and 15(d)

Share-Based Compensation (Tables)

v3.24.0.1
Share-Based Compensation (Tables)
 12 Months Ended
Dec. 31, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Schedule of Share-based Compensation Expense, Net
Total share-based compensation consisted of the following (in millions):
Year Ended December 31,
2023 2022 2021
Share-based compensation costs before income taxes:
Equity awards $ 100  $ 112  $ 105 
Liability awards 155  97  40 
Total share-based compensation 255  209  145 
Capitalized share-based compensation (5) (4) (5)
Total share-based compensation costs before income taxes $ 250  $ 205  $ 140 
Tax benefit associated with share-based compensation costs $ 54  $ 48  $ 33 
Share-based Payment Arrangement, Nonvested Award, Cost
The total unrecognized compensation cost at December 31, 2023 relating to non-vested share-based compensation arrangements consisted of the following:
Unrecognized Compensation Cost
(in millions)		 Recognized over a weighted average period
(years)
Restricted Stock Unit and Performance Stock Unit Awards $ 181  1.4
Schedule Of Share Based-Payment Award, Performance Stock Units, Valuation Assumptions
The table below provides the assumptions used in estimating the fair value of unvested awards containing market conditions as of the end of the respective periods, and for which the performance period had not yet ended:
Year Ended December 31,
2023 2022 2021
Fair value assumptions:
Dividend yield (1) —  % —  % —  %
Expected volatility (2)
27.5% - 32.7%
36.4% - 40.2%
27.0% - 41.0%
Risk-free interest rate (2)
4.2% - 4.8%
4.4% - 4.7%
0.7% - 1.4%
Weighted average expected remaining term, in years 1.5 1.4 1.5
(1)The performance stock units are entitled to dividend equivalents during the performance period. Therefore, when calculating simulated returns, we applied an annual dividend yield of zero percent.
(2)Represents the range associated with individual vesting years.
Equity-Classified Restricted Stock Units [Member]  
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Schedule of Nonvested Share Activity
The table below provides a summary of activity related to our equity-classified restricted stock units (in millions, except for per unit information):
  Units Weighted Average Grant Date Fair Value Per Unit
Non-vested at January 1, 2023
 2.3  $ 92.52 
Granted 0.8  150.59 
Forfeited (0.1) 118.77 
Modified to liability awards (1) (0.2) 115.26 
Vested (2) (1.2) 84.12 
Non-vested at December 31, 2023
 1.6  $ 123.24 
(1)See further details in Liability-Classified Awards below.
(2)The total fair value of shares vested was $183 million for the year ended December 31, 2023.
Equity-Classified Performance Stock Units [Member]  
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Share-Based Payment Arrangement, Performance Shares, Outstanding Activity
The table below provides a summary of activity related to our equity-classified performance stock units (in millions, except for per unit information):
  Units Weighted Average Grant Date Fair Value Per Unit
Non-vested at January 1, 2023
 0.6  $ 92.11 
Granted (1) 0.2  163.04 
Incremental units achieved (2) 0.3  72.05 
Forfeited (0.1) 107.61 
Modified to liability awards (3) (0.3) 106.25 
Vested (4) (0.2) 55.26 
Non-vested at December 31, 2023
 0.5  $ 124.19 
(1)Includes 0.1 million performance stock units granted in 2023 to certain officers containing a cash settlement cap of $3 million.
(2)Represents incremental units recognized as a result of final performance measures or estimated measures.
(3)See further details in Liability-Classified Awards below.
(4)The total fair value of shares vested was $36 million for the year ended December 31, 2023.