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Stock-Based Compensation
 9 Months Ended
Sep. 30, 2024
Share-Based Payment Arrangement [Abstract]  
Stock-Based Compensation Stock-Based Compensation
General
Stock-based compensation expense of awards issued under the Company’s incentive plans, and the income tax benefit of awards vested and exercised, are as follows:
Three Months Ended 
September 30,		Nine Months Ended 
September 30,
(In millions)2024202320242023
Restricted stock units - employees and non-employee directors$11 $14 $32 $28 
Restricted stock awards3 3 6 11 
Performance share awards— 4 5 12 
Deferred performance shares— — — (7)
   Total stock-based compensation expense$14 $21 $43 $44 
Income tax benefit$— $— $— $2 
Refer to Note 13 of the Notes to the Consolidated Financial Statements in the Form 10-K for further description of the various types of stock-based compensation awards and the applicable award terms.
Restricted Stock Units - Employees
During the nine months ended September 30, 2024, the Company granted 2,192,947 restricted stock units to employees of the Company with a weighted average grant date value of $25.83 per unit. The fair value of restricted stock unit grants is based on the closing stock price on the grant date. Restricted stock units generally vest at the end of a three-year service period. The Company assumed a zero to five percent annual forfeiture rate for purposes of recognizing stock-based compensation expense for awards granted in 2024 based on the Company’s actual forfeiture history and expectations for this type of award.
Restricted Stock Units - Non-Employees Directors
In May 2024, the Company granted 64,107 restricted stock units, with a weighted-average grant date value of $28.08 per unit, to the Company’s non-employee directors. The fair value of these units is measured based on the closing stock price on grant date. These units will vest on the earlier of April 2025 or upon the director’s separation from the Company. Accordingly, the Company recognized compensation expense immediately.
Performance Share Awards
Total Shareholder Return (“TSR”) Performance Share Awards. During the nine months ended September 30, 2024, the Company granted 541,865 TSR Performance Share Awards, which are earned or not earned, based on the comparative performance of the Company’s common stock measured against a predetermined group of companies in the Company’s peer group and certain industry-related indices over a three-year performance period, which commenced on February 1, 2024 and ends on January 31, 2027.
These awards have both an equity and liability component, with the right to receive up to the first 100 percent of the award in shares of common stock and the right to receive up to an additional 100 percent of the value of the award in excess of the equity component in cash. These awards also include a feature that will reduce the potential cash component of the award if the actual performance is negative over the three-year period and the base calculation indicates an above-target payout. The equity portion of these awards is valued on the grant date and is not marked-to-market, while the liability portion of the awards is valued as of the end of each reporting period on a mark-to-market basis. The Company calculates the fair value of the equity and liability portions of the awards using a Monte Carlo simulation model.
The Company assumed a zero percent annual forfeiture rate for purposes of recognizing stock-based compensation expense for these awards based on the Company’s actual forfeiture history and expectations for this type of award.
The following assumptions were used to determine the grant date fair value of the equity component and the period-end fair value of the liability component of the TSR Performance Share Awards:
 Grant Date
February 21, 2024September 30, 2024
Fair value per performance share award$19.38 
$0.60 - $6.16
Assumptions:  
Stock price volatility38.0 %
23.1% - 31.7%
Risk-free rate of return4.39 %
3.60% - 4.55%