Shareholders' Equity

6 Months Ended

Jun. 30, 2013

Shareholders' Equity

Shareholders' Equity

NOTE 8. Shareholders' Equity

Preferred Stock

On May1, 2013, BB&T issued $500 million of its Series G Non-Cumulative Perpetual Preferred Stock for net proceeds of $487 million. Dividends on the Series G preferred stock, if declared, are payable quarterly, in arrears, at a rate of 5.20% per annum.

Equity-Based Plans

At June 30, 2013, BB&T had options, restricted stock and restricted stock units outstanding from the following equity-based compensation plans: the 2012 Plan, the 2004 Plan, the Omnibus Plan, and the Directors' Plan. BB&T's shareholders have approved all equity-based compensation plans. As of June 30, 2013, the 2012 Plan is the only plan that has shares available for future grants. The 2012 and 2004 Plans allow for accelerated vesting of awards for holders who retire and have met all retirement eligibility requirements and in connection with certain other events.

BB&T measures the fair value of each option award on the date of grant using the Black-Scholes option-pricing model.

		Six Months Ended June 30,
		2013			2012
Weighted average assumptions:
	Risk-free interest rate		1.3	%		1.5	%
	Dividend yield		3.6			4.4
	Volatility factor		28.0			33.0
	Expected life		7.0	yrs		7.0	yrs
Fair value of options per share		$	5.48		$	6.07

			Wtd. Avg.
			Exercise
		Options	Price
Outstanding at January 1, 2013		45,391,074	$	34.15
	Granted	403,720		30.08
	Exercised	(1,165,966)		23.22
	Forfeited or expired	(4,077,728)		32.69
Outstanding at June 30, 2013		40,551,100		34.57
Exercisable at June 30, 2013		33,619,401		35.88
Exercisable and expected to vest at June 30, 2013		40,013,065	$	34.66

			Wtd. Avg.
		Restricted	Grant Date
		Shares/Units	Fair Value
Nonvested at January 1, 2013		13,930,824	$	19.26
	Granted	3,964,954		25.59
	Vested	(2,015,713)		22.80
	Forfeited	(171,881)		19.55
Nonvested at June 30, 2013		15,708,184	$	20.40