XML 34 R22.htm IDEA: XBRL DOCUMENT v3.20.4
Employee Equity Incentive Plans
 9 Months Ended
Jan. 01, 2021
Share-based Payment Arrangement [Abstract]  
Employee Equity Incentive Plans Employee Equity Incentive Plans
The following table sets forth the stock-based compensation expense recognized for our equity incentive plans:
 
Three Months EndedNine Months Ended
(In millions)
January 1, 2021January 3, 2020January 1, 2021January 3, 2020
Cost of revenues$— $— $1 $1 
Sales and marketing5 10 14 23 
Research and development8 6 21 21 
General and administrative7 20 21 46 
Restructuring and other costs1 6 9 6 
Other income, net— 3 (1)3 
Total stock-based compensation from continuing operations21 45 65 100 
Discontinued operations— 75 1 170 
Total stock-based compensation expense$21 $120 $66 $270 
Income tax benefit for stock-based compensation expense$(5)$(22)$(15)$(51)
As of January 1, 2021, the total unrecognized stock-based compensation costs related to our unvested stock-based awards was $98 million, which will be recognized over an estimated weighted-average amortization period of 2 years.
The following table summarizes additional information related to our stock-based awards, including awards associated with our discontinued operations:
 Nine Months Ended
(In millions, except per grant data) January 1, 2021January 3, 2020
Restricted stock units (RSUs):
Weighted-average fair value per award granted
$20.65 $19.56 
Awards granted3 13 
Total fair value of awards released$85 $251 
Outstanding and unvested5 8 
Performance-based restricted stock units (PRUs):
Weighted-average fair value per award granted$26.53 $13.42 
Awards granted2 2 
Total fair value of awards released$43 $33 
Outstanding and unvested at target payout1 1 
Stock options:
Weight-average fair value per award granted$— $4.76 
Awards granted— 2 
Total intrinsic value of stock options exercised$15 $159 
Outstanding1 3 
Exercisable1 2 
Dividend equivalent rights (DERs)
Our RSUs and PRUs contain DERs that entitles the recipient of an award to receive cash dividend payments if and when the underlying shares are released. The amount of DERs equals the amount of cumulated dividends on the issued number of common stock that would have been payable since the date the associated award was granted. As of January 1, 2021 and April 3, 2020, current dividends payable related to DER was $12 million and $62 million, respectively, recorded as part of Other current liabilities in the Condensed Consolidated Balance Sheets, and long-term dividends payable related to DER was $10 million and $31 million, respectively, recorded as part of Other long-term liabilities.
Stock-based award modifications
In connection with the Broadcom sale, during the first quarter of fiscal 2021 and fiscal 2020, we entered into severance and retention arrangements with certain executives. Pursuant to these agreements, these executives are entitled to receive vesting of 50% of their unvested equity, subject to a service condition, and the remaining unvested equity may be earned at levels of 0% to 150%, subject to market and service conditions. In addition, during the nine months ended January 1, 2021 and fiscal 2020, we entered into severance and retention arrangements with certain other employees in connection with restructuring activities and the Broadcom sale, which accelerated either a portion or all of the vesting of their stock-based awards.
The following table summarizes the stock-based compensation expense recognized as a result of these modifications:
Three Months Ended
Nine Months Ended
(In millions)
January 1, 2021January 3, 2020January 1, 2021January 3, 2020
Sales and marketing$— $5 $2 $5 
Research and development4 — 9 — 
General and administrative2 12 8 12
Restructuring and other costs1 6 9 6
Discontinued operations— 97 — 97
Total stock-based compensation$7 $120 $28 $120