Share-Based Compensation (Tables)

12 Months Ended

Dec. 31, 2022

Schedule of Restricted Stock Unit Grants

The following table provides information about our RSU grants for the last three fiscal years:

	Year Ended December 31,
	2022		2021		2020
Number of shares granted	800,378		588,930		672,123
Weighted average grant date fair value per share	$	44.12	$	38.50	$	25.14
Fair value of shares vested (in millions)	$	25	$	19	$	10

Schedule of Restricted Stock Units Activity

The following table summarizes the activity of our RSUs during the year ended December 31, 2022:

	Number of Shares	Weighted Average Grant Date Fair Value
Outstanding, beginning of period	1,029,638	33.55
Granted	800,378	44.12
Vested	(486,326)	32.82
Forfeited	(43,106)	40.86
Outstanding, end of period	1,300,584	40.09

Schedule of Stock Option Grants

The following table provides information about our option grants for the last three fiscal years:

	Year Ended December 31,
	2022		2021		2020
Number of options granted	389,536		542,793		566,401
Weighted average exercise price per share	$	44.09	$	38.22	$	25.80
Weighted average grant date fair value per share	$	20.08	$	18.41	$	9.14

Schedule of Stock Option Valuation Assumptions

The weighted-average grant date fair value of each of these options were determined using the Black-Scholes-Merton option-pricing model with the following assumptions:

	Year Ended December 31,
	2022		2021		2020
Expected volatility(1)	45.8	%	50.5	%	35.4	%
Dividend yield(2)	—	%	—	%	—	%
Risk-free rate(3)	1.7	%	1.1	%	1.0	%
Expected term (in years)(4)	6.0		6.0		6.0

(1)During the year ended December 31, 2020, due to limited trading history for our common stock, we did not have sufficient information available on which to base a reasonable and supportable estimate of the expected volatility of its share price. As a result, we used an average historical volatility of our peer group over a time period consistent with its expected term assumption. Our peer group was determined based upon companies in our industry with similar business models and is consistent with those used to benchmark our executive compensation.

(2)At the date of grant we had no plans to pay dividends during the expected term of these options.

(3)Based on the yields of U.S. Department of Treasury instruments with similar expected lives.

(4)Estimated using the average of the vesting periods and the contractual term of the options.

Schedule of Stock Options Activity

The following table summarizes the activity of our options during the year ended December 31, 2022:

	Number of Shares	Weighted Average Exercise Price Per Share
Outstanding, beginning of period	2,086,724	$	32.39
Granted	389,536	44.09
Exercised	(58,345)	28.76
Forfeited, canceled or expired	(5,683)	38.96
Outstanding, end of period	2,412,232	34.35
Exercisable, end of period	1,510,974	31.87

Schedule of Performance Stock Units Activity

The following table summarizes the activity of our Performance RSUs during the year ended December 31, 2022:

	Adjusted EBITDA(1)			Contract Sales			Run Rate Cost Savings
	Number of Shares	Weighted Average Grant Date Fair Value per Share		Number of Shares	Weighted Average Grant Date Fair Value per Share		Number of Shares	Weighted Average Grant Date Fair Value per Share
Outstanding, beginning of period	374,243	$	34.07	146,352	$	32.98	235,249	$	40.27
Granted	46,532	44.09		46,532	44.09		—	—
Vested	—	—		—	—		—	—
Forfeited, canceled or expired	(85,542)	33.32		(36,656)	33.32		—	—
Outstanding, end of period	335,233	35.12		156,228	36.20		235,249	40.27

(1)Represents our Adjusted EBITDA metric described in Part 1 of this Form 10-K, further adjusted by net recognition and deferral activity from sales of VOIs under construction.

Performance Shares | Adjusted EBITDA

Schedule Of Performance Stock Unit Grants

The following table provides information about our Performance RSU grants, which is based on our Adjusted EBITDA metric described in Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations of this Annual Report on Form 10-K, further adjusted by net deferral and recognition of revenues and related direct expenses related to sales of VOIs of projects under construction for the last three fiscal years:

	Year Ended December 31,
	2022		2021		2020
Number of shares granted	46,532		178,224		117,975
Weighted average grant date fair value per share	$	44.09	$	39.55	$	25.69
Fair value of shares vested (in millions)	—		—		2

Performance Shares | Contract Sales

Schedule Of Performance Stock Unit Grants

The following table provides information about our Performance RSU grants, which is based on contract sales for the last three fiscal years:

	Year Ended December 31,
	2022		2021		2020
Number of shares granted	46,532		62,356		50,554
Weighted average grant date fair value per share	$	44.09	$	38.22	$	25.69
Fair value of shares vested (in millions)	—		—		1