Stock-Based Compensation

3 Months Ended

Mar. 31, 2022

Stock-Based Compensation [Abstract]

Stock-Based Compensation

Note 8. Stock-Based Compensation

We recognized stock-based compensation expense of $6 million ($6 million, net of tax) and $6 million ($4 million, net of tax) for the three months ended March 31, 2022 and 2021, respectively. These charges are included in Selling and administrative expenses in the accompanying condensed consolidated statements of operations and comprehensive income.

A summary of awards granted under the Omnibus Plan during the three months ended March 31, 2022 is presented below:

	Number of	Weighted Avg.		Weighted Avg.		Weighted Avg.
	Awards	Exercise		Grant Date		Vesting
	Granted	Price		Fair Value		Period
Stock options	534,340	$	28.82	$	14.62	4.00
Restricted stock units	924,062				28.85	3.00
Performance shares(1)	230,223				28.82	3.00

_____________________________

(1)The number of performance shares granted during the three months ended March 31, 2022 represents the target value of the awards. The performance shares contain a performance condition that is based on our revenue target, and the ultimate number of performance shares to be earned depends on the achievement of this performance condition.

As of March 31, 2022, there was $73 million of total unrecognized compensation cost, net of estimated forfeitures, related to unvested stock options, restricted stock units (“RSUs”), performance shares and restricted stock awards (“RSAs”). These remaining costs are expected to be recognized over a weighted-average period of 2.58 years.