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Equity-Based Compensation (Tables)
 12 Months Ended
Jun. 30, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Summary of Equity-Based Compensation Expense

The following table summarizes the Company’s equity-based compensation expense reported in the Statements of Operations:

 

     For the fiscal years ended June 30,  
             2015                      2014                      2013          
     (in millions)  

News Corporation’s employees

    $ 54       $ 34       $ 41   

Allocated(a)

      —           —           8   
  

 

 

     

 

 

     

 

 

  

Total

    $ 54       $ 34       $ 49   
  

 

 

     

 

 

     

 

 

  

Total intrinsic value of stock options exercised

    $ 24       $ 2       $   23   
  

 

 

     

 

 

     

 

 

  

 

(a) 

The allocated expense includes executive directors and corporate executives of 21st Century Fox, allocated using a proportional allocation methodology, which management has deemed to be reasonable.
Summary of Activity Related to Target PSUs and RSUs Settled in Shares

The following table summarizes the activity related to the target PSUs and RSUs granted to the Company’s employees which will be settled in shares of the Company (PSUs and RSUs in thousands):

 

     Fiscal 2015      Fiscal 2014      Fiscal 2013  
     Number
of
shares		     Weighted
average
grant-
date fair
value(g)		      Number
of
shares		     Weighted
average
grant-
date fair
value(g)		      Number
of
shares		     Weighted
average
grant-
date fair
value(g)		  

PSUs and RSUs

               

Unvested units at beginning of the year

      7,222      $ 13.00         5,557      $ 9.46         3,076      $ 14.81   

Granted(a)

      2,975        17.29         2,924        19.06         1,414        24.83   

RSUs assumed in acquisition(b)

      2,491        15.20         —          —           —          —     

Vested(c)

      (3,131 )      10.19         (24 )      10.70         (869 )      14.46   

Cancelled(d)

      (1,202 )      11.36         (1,235 )      11.39         (426 )      15.52   

Units impacted by the Separation(e)

      —          —           —          —           (609 )      17.02   

Units granted in conversion, as a result of the Separation

      —          —           —          —           2,971        9.46   
  

 

 

    

 

 

     

 

 

    

 

 

     

 

 

    

 

 

  

Unvested units at the end of the year(f)

      8,355      $ 16.77         7,222      $ 13.00         5,557      $ 9.46   
  

 

 

    

 

 

     

 

 

    

 

 

     

 

 

    

 

 

  

 

(a) 

Includes 2.3 million target PSUs and 0.5 million RSUs granted during fiscal 2015 and a payout adjustment of 0.2 million PSUs due to the actual performance level achieved for PSUs granted in 2012 that vested during fiscal 2015.
(b) 

Represents RSUs assumed in the Move acquisition. The weighted average grant date fair value for the assumed awards was calculated using the fair value of the awards at the acquisition date.
(c) 

The fair value of PSUs and RSUs held by the Company’s employees that vested during the fiscal years ended June 30, 2015, 2014 and 2013 was $32 million, nil and $20 million, respectively.
(d) 

Includes 0.3 million of target PSUs and 0.3 million RSUs cancelled during fiscal 2015 and a payout adjustment of 0.6 million PSUs due to the actual performance level achieved for PSUs granted in 2012 that vested during fiscal 2015.
(e) 

Represented 0.9 million of unvested PSUs and RSUs as of June 28, 2013, the date of the Separation, which were converted to and were settled in shares of 21st Century Fox Class A Common Stock as such awards vested on or prior to December 31, 2013, offset by 0.3 million awards which represent PSUs and RSUs held by 21st Century Fox Corporate employees who became employed by the Company during the 12 months prior to the Separation. These awards have been assumed by the Company and will be settled in the shares of the Company.
(f) 

The intrinsic value of these unvested RSUs and target PSUs was approximately $127 million as of June 30, 2015.
(g) 

The weighted average grant date fair value prior to June 30, 2013 represents the fair value of awards granted with respect to 21st Century Fox Class A Common Stock prior to conversion to awards of the Company. The weighted average grant date fair value of awards granted under the 21st Century Fox plans and converted into Company equity awards as of and subsequent to June 30, 2013 represents the fair value of the award using the conversion ratio set forth by the 21st Century Fox Compensation Committee.
Summary of Stock Option Transactions

The following table summarizes information about stock option transactions for the employee stock option plans (options in thousands):

 

    Fiscal 2015     Fiscal 2014     Fiscal 2013  
    Options     Weighted
average
exercise
price(e)		     Options     Weighted
average
exercise
price(e)		     Options     Weighted
average
exercise
price(e)		  
          (in US$)           (in US$)           (in US$)      (in A$)  

Outstanding at the beginning of the year

     263      $ 6.25        463      $ 5.88        4,086      $ 12.40       $ 18.27   

Options assumed in acquisition(a)

     4,336        7.46        —          —          —          —           —     

Exercised

     (2,521 )      6.22        (200 )      5.39        (2,924 )      12.57         18.53   

Cancelled

     (70 )      8.37        —          —          (191 )      12.39         18.86   

Options impacted by the Separation(b)

     —          —          —          —          (786 )      11.27         17.08   

Shares granted in conversion, as a result of the Separation

     —          —          —          —          278        5.88         —     
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

     

 

 

  

Outstanding at the end of the year(c)

     2,008      $ 8.82        263      $ 6.25        463      $ 5.88       $ —     
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

     

 

 

  

Exercisable at the end of the year(d)

     1,117          263          463        

 

(a) 

Represents options assumed in the Move acquisition. The weighted average exercise price for the assumed options was calculated using the converted exercise price at the acquisition date. The converted exercise price was calculated using a formula designed to preserve the value of the awards based on the price per share paid in the acquisition.
(b) 

Represents 0.8 million of outstanding options as of the Distribution Date, which were converted into and settled in Class A Common Stock of 21st Century Fox.
(c) 

Represents the total number of outstanding options as of the Distribution Date which was converted to and will be settled in Class A Common Stock of the Company as the options expire subsequent to December 31, 2013. The intrinsic value of options outstanding held by the Company’s employees as of June 30, 2015, 2014 and 2013 was $12.8 million, $3.1 million, and $4.3 million, respectively. The weighted average remaining contractual life of options outstanding as of June 30, 2015 was 6.01 years.
(d) 

The weighted average remaining contractual life of options exercisable as of June 30, 2015 was 4.34 years.
(e) 

The weighted average exercise price prior to June 30, 2013 represents the exercise price of options granted with respect to 21st Century Fox Class A Common Stock prior to conversion to awards of the Company. The weighted average exercise price of awards as of and subsequent to June 30, 2013 represents the exercise price of the awards using the conversion ratio set forth by the 21st Century Fox Compensation Committee.