XML 23 R11.htm IDEA: XBRL DOCUMENT v3.8.0.1
Stock Compensation Plans
 9 Months Ended
Sep. 30, 2017
Stock Compensation Plans [Abstract]  
Stock Compensation Plans
5. STOCK COMPENSATION PLANS

As of September 30, 2017, the Company’s primary type of stock-based compensation was restricted stock units. Stock-based compensation expenses for the following periods were:
In millions
Three months ended September 30
 
Nine months ended September 30
2017
 
2016
 
2017
 
2016
Restricted stock units
$
18

 
$
16

 
$
57

 
$
45

Employee stock purchase plan
1

 
—

 
3

 
—

Stock-based compensation expense
19

 
16

 
60

 
45

Tax benefit
(9)

 
(6)

 
(21)

 
(14
)
Total stock-based compensation expense (net of tax)
$
10

 
$
10

 
$
39

 
$
31



Stock-based compensation expense is recognized in the financial statements based upon fair value.

Restricted Stock Units As of September 30, 2017, the total unrecognized compensation cost of $128 million related to unvested restricted stock grants is expected to be recognized over a weighted average period of approximately 1.1 years.

Employee Stock Purchase Plan Effective January 1, 2017, the Company amended its Employee Stock Purchase Plan ("ESPP") to provide employees a 15% discount on stock purchases using a three-month look-back feature where the discount is applied to the stock price that represents the lower of NCR’s closing stock price on either the first day or the last day of each calendar quarter. Participants can contribute between 1% and 10% of their compensation.

For the three months ended September 30, 2017, employees purchased 0.2 million  shares, at a discounted price of $34.57. For the nine months ended September 30, 2017, employees purchased 0.4 million shares. The intrinsic value of shares purchased during the three and nine months ended September 30, 2017 was $0.8 million and $2.3 million, respectively. The intrinsic value is calculated as the difference between the market value on the date of purchase and the purchase price of the shares.