Share-Based Compensation Plans

6 Months Ended

Jun. 30, 2017

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

The Northern Trust Corporation 2017 Long-Term Incentive Plan provides for the grant of nonqualified and incentive stock options; tandem and free-standing stock appreciation rights; stock awards in the form of restricted stock, restricted stock units and other stock awards; and performance awards.

Beginning with the grants made on February 21, 2017 under the Corporation’s prior equity incentive plan, restricted stock unit and performance stock unit grants continue to vest in accordance with the original terms of the award if the applicable employee retires, after satisfying applicable age and service requirements. For all applicable periods, stock option grants continue to vest in accordance with the original terms of the award if the applicable employee retires, after satisfying applicable age and service requirements. Compensation expense for the three months ended June 30, 2017 of $7.2 million was attributable to performance stock units granted on February 21, 2017 to retirement-eligible employees that are expensed from the date of grant through the requisite service period which ended on June 30, 2017.

Total compensation expense for share-based payment arrangements and the associated tax impacts were as follows for the three and six months ended June 30, 2017 and 2016.

Table 58: Total Compensation Expense for Share-Based Payment Arrangements



	Three Months Ended June 30,				Six Months Ended June 30,
(In Millions)	2017		2016		2017		2016
Restricted Stock Unit Awards	$	15.6	$	14.7	$	56.8	$	30.0
Stock Options	1.0		0.8		7.3		7.2
Performance Stock Units	12.0		4.5		20.5		8.6
Total Share-Based Compensation Expense	28.6		20.0		84.6		45.8
Tax Benefits Recognized	$	10.7	$	7.6	$	31.9	$	17.3