Note 8 - Stock-based Compensation

6 Months Ended

Jun. 30, 2023

Notes to Financial Statements

Share-Based Payment Arrangement [Text Block]

8. Stock-based Compensation

We recognize compensation expense for stock-based payment awards made to our employees, consultants and directors. The following table provides our stock-based compensation expense and related income tax benefit for the three and six-month periods ended June 30, 2023 and 2022 (in millions):

	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2023			2022			2023			2022
Stock-based compensation expense, gross	$	7		$	6		$	9		$	11
Income tax benefit at our statutory rate associated with stock-based compensation		(2	)		(2	)		(2	)		(3	)
Stock-based compensation expense, net	$	5		$	4		$	7		$	8

All shares of common stock and Class A common stock underlying outstanding restricted stock units and performance awards are counted as issued at target levels under the 2022 EICP for purposes of determining the number of shares available for future issuance.

A summary of restricted common stock and Class A common stock activity for the six-month periods ended June 30, 2023 and 2022, respectively, is as follows:

	Six Months Ended
	June 30, 2023					June 30, 2022
				Weighted-					Weighted-
				average					average
				Grant Date					Grant Date
	Number of			Fair Value		Number of			Fair Value
	Shares			Per Share		Shares			Per Share
Restricted stock - common:
Outstanding - beginning of period (1)		997,745		$	20.62		1,035,728		$	19.69
Granted (1)		1,007,921		$	8.15		400,927		$	21.68
Vested		(461,953	)	$	20.27		(341,918	)	$	19.03
Outstanding - end of period (1)		1,543,713		$	12.58		1,094,737		$	20.62
Restricted stock - Class A common:
Outstanding - beginning of period (1)		677,238		$	19.36		720,421		$	18.22
Granted (1)		738,854		$	8.34		250,448		$	20.52
Vested		(203,986	)	$	18.76		(229,758	)	$	16.99
Outstanding - end of period (1)		1,212,106		$	12.74		741,111		$	19.38
Restricted stock units - common stock:
Outstanding - beginning of period		274,145		$	23.60		125,247		$	19.02
Granted		587,168		$	11.50		259,079		$	23.87
Vested		(247,953	)	$	23.64		(108,921	)	$	19.03
Forfeited		(26,192	)	$	23.15		(1,260	)	$	19.05
Outstanding - end of period		587,168		$	11.50		274,145		$	23.60

(1) For awards subject to future performance conditions, amounts assume target performance.