Stock-based and Other Incentive Compensation (Tables)

3 Months Ended

Mar. 31, 2024

Share-Based Payment Arrangement [Abstract]

Summary of CSAR Activity

CSAR activity during the three months ended March 31, 2024, was as follows:

	Number of CSAR Awards	Weighted Average Grant Price		Weighted Average Remaining Term	Aggregate Intrinsic Value (in millions)
Outstanding as of December 31, 2023	3,452,120	$	18.77	1.72 years	$	37
Outstanding as of March 31, 2024	3,452,120	$	18.77	1.47 years	$	36
Exercisable as of March 31, 2024	2,423,412	$	14.39	0.59 years	$	36

Summary of Fair Value Assumptions

The following table summarizes the assumptions used in the Black-Scholes-Merton model, which the Company uses to estimate the fair value of the CSARs:

	March 31, 2024	December 31, 2023
Expected dividend yield	1.73%	1.70%
Risk-free interest rate	4.51% - 5.49%	3.99% - 5.60%
Weighted average volatility	21.76%	22.24%
Expected life (in years)	0.00 - 3.00	0.06 - 3.25
Weighted average grant date fair value per share of rights granted	$4.71	$4.83

Summary of Compensation Expense (Benefit)

Compensation expense (benefit) related to CSAR awards was as follows:

	Three Months Ended March 31,
(in millions)	2024		2023
Selling, general and administrative expenses	(1)		10
Income tax expense (benefit)	—		(2)
CSAR compensation (benefit) expense, net	$	(1)	$	8

Compensation expense related to Performance Cash Awards was as follows:

	Three Months Ended March 31,
(in millions)	2024		2023
Cost of revenue	$	1	$	1
Selling, general and administrative expenses	3		3
Performance Cash compensation expense	4		4
Income tax benefit	(1)		(1)
Performance Cash compensation expense, net	$	3	$	3