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Stock-Based Compensation Plans and Arrangements (Tables)
 12 Months Ended
Dec. 31, 2019
Share-based Payment Arrangement [Abstract]  
Stock option activity
The following table summarizes stock option activity for the year ended December 31, 2019.
 
(Dollars in thousands, except per share data)
Number of
Options
 
Weighted
Average
Exercise
Price per
Share
 
Weighted
Average
Remaining
Contractual
Term
 
Aggregate
Intrinsic
Value(1)
Outstanding at December 31, 2018
1,391,819

 
$
10.44

 
 
 
 
Granted
—

 
—

 
 
 
 
Exercised(2)(3)
(593,806
)
 
3.63

 
 
 
 
Canceled
(8,167
)
 
3.94

 
 
 
 
Outstanding at December 31, 2019(4)
789,846

 
$
4.75

 
0.7 years
 
$
3,284

Exercisable at December 31, 2019
789,846

 
$
4.75

 
0.7 years
 
$
3,284

____________ 
(1) 
The aggregate intrinsic value represents the total intrinsic value (the aggregate difference between our closing stock price on December 31, 2019 and the exercise price of in-the-money options) that would have been received by the option holders if all in-the-money options had been exercised on December 31, 2019.
(2) 
The total intrinsic value of options exercised was $4 million, $17 million, and $16 million for the years ended December 31, 2019, 2018 and 2017, respectively.
(3) 
No cash was received from option exercises for the year ended December 31, 2019. The actual tax benefit realized for the tax deductions from option exercises totaled $1 million for the year ended December 31, 2019.
(4) 
For net-settled options, gross number is reflected.
Restricted stock activity
The following table summarizes restricted stock activity for the year ended December 31, 2019.
 
(Shares and per share amounts in actuals)
Number of
Shares
 
Weighted
Average Grant
Date
Fair Value
Non-vested at December 31, 2018
84,392

 
$
11.73

Granted
118,789

 
9.26

Vested(1)
(84,392
)
 
11.73

Canceled
—

 
—

Non-vested at December 31, 2019(2)
118,789

 
$
9.26

_________ 
(1) 
The total fair value of shares that vested during the years ended December 31, 2019, 2018 and 2017 was $1 million, $1 million and $1 million, respectively.
(2) 
As of December 31, 2019, there was $1 million of unrecognized compensation cost related to restricted stock, which is expected to be recognized over a weighted average period of 0.5 years.
Restricted stock unit and performance stock unit activity
The following table summarizes RSU and PSU activity for the year ended December 31, 2019.
 
(Shares and per share amounts in actuals)
Number of
RSUs/
PSUs
 
Weighted
Average Grant
Date
Fair Value
Outstanding at December 31, 2018
5,338,034

 
$
10.11

Granted
3,008,102

 
10.84

Vested and converted to common stock(1)
(3,030,536
)
 
8.78

Canceled
(136,383
)
 
11.09

Outstanding at December 31, 2019(2)
5,179,217

 
$
11.28

__________ 
(1) 
The total fair value of RSUs/PSUs that vested and converted to common stock during the years ended December 31, 2019, 2018 and 2017 was $27 million, $25 million and $29 million, respectively.
(2) 
As of December 31, 2019, there was $12 million of unrecognized compensation cost related to RSUs/PSUs, which is expected to be recognized over a weighted average period of 1.4 years.
Black-Scholes Model assumptions for calculating ESPP fair values
The fair values of the stock purchase rights of the ESPP offerings were calculated using a Black-Scholes option pricing model with the following weighted average assumptions:
 
 
Years Ended December 31,
(Dollars per share)
2019
 
2018
 
2017
Risk-free interest rate
1.87
%
 
2.44
%
 
1.22
%
Expected volatility
29
%
 
27
%
 
32
%
Expected dividend rate
1.34
%
 
—
%
 
—
%
Expected life of the option
1 year

 
1 year

 
1 year

Weighted average fair value of stock purchase rights
$
1.77

 
$
2.32

 
$
2.36