Management Compensation Plans

12 Months Ended

Dec. 31, 2017

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

General Plan Description

The Company issues stock-based awards under its 2009 GIP, which enables the compensation committee of the Board of Directors to award incentive and nonqualified stock options, stock appreciation rights, shares of Common Stock, restricted stock awards, RSUs and incentive bonuses (which may be paid in cash or stock or a combination thereof), any of which may be performance-based, with vesting and other award provisions that provide effective incentive to Company employees (including officers), non-management directors and other service providers.

Total shares available for awards and total shares subject to outstanding awards are as follows:



	As of December 31, 2017
	Shares Available for Awards	Shares Subject to Outstanding Awards
2009 GIP	5,663,628	1,701,713

The Company realized income tax benefits from stock option exercises and RSU vestings as follows:



	Year Ended December 31,
	2017	2016	2015
	(In $ millions)
Income tax benefit realized	9	7	2

Restricted Stock Units

A summary of changes in nonvested performance-based RSUs outstanding is as follows:



	Number of Units		Weighted Average Grant Date Fair Value
	(In thousands)		(In $)
As of December 31, 2016	1,085		53.36
Granted	314		83.52
Additional performance-based RSUs granted⁽¹⁾	225		48.70
Vested	(527	)	49.36
Canceled	(150	)	53.21
Forfeited	(87	)	62.36
As of December 31, 2017	860		64.71

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⁽¹⁾	Represents additional performance-based RSU grants in 2014 that were awarded in 2017 as a result of achieving internal profitability targets.

The fair value of shares vested for performance-based RSUs is as follows:



	Year Ended December 31,
	2017	2016	2015
	(In $ millions)
Total	42	64	27

A summary of changes in nonvested time-based RSUs outstanding is as follows:



	Number of Units		Weighted Average Grant Date Fair Value
	(In thousands)		(In $)
As of December 31, 2016	344		67.42
Granted	159		86.20
Vested	(123	)	67.78
Forfeited	(29	)	68.29
As of December 31, 2017	351		75.75

The fair value of shares vested for time-based RSUs is as follows:



	Year Ended December 31,
	2017	2016	2015
	(In $ millions)
Total	12	4	6

As of December 31, 2017, there was $52 million of unrecognized compensation cost related to RSUs, excluding actual forfeitures, which is expected to be recognized over a weighted average period of two years.