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Share-Based Compensation Plans
 6 Months Ended
Jun. 30, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Share-Based Compensation Plans
Share-Based Compensation Plans
The Company has share-based compensation plans under which the Company grants restricted stock units (RSUs) and performance share units (PSUs) to certain management level employees. In addition, employees and non-employee directors may be granted options to purchase shares of Company common stock at the fair market value at the time of grant.
The following table provides the amounts of share-based compensation cost recorded in the Condensed Consolidated Statement of Income:
 
Three Months Ended 
 June 30,
 
Six Months Ended 
 June 30,
($ in millions)
2017
 
2016
 
2017
 
2016
Pretax share-based compensation expense
$
82

 
$
80

 
$
156

 
$
148

Income tax benefit
(25
)
 
(25
)
 
(47
)
 
(45
)
Total share-based compensation expense, net of taxes
$
57

 
$
55

 
$
109

 
$
103


During the first six months of 2017 and 2016, the Company granted 5 million RSUs with a weighted-average grant date fair value of $63.97 per RSU and 5 million RSUs with a weighted-average grant date fair value of $54.54 per RSU, respectively. During the first six months of 2017 and 2016, the Company granted 4 million stock options with a weighted-average exercise price of $63.98 per option and 6 million stock options with a weighted-average exercise price of $54.61 per option, respectively. The weighted-average fair value of options granted for the first six months of 2017 and 2016 was $7.05 and $5.89 per option, respectively, and was determined using the following assumptions:
  
Six Months Ended 
 June 30,
 
2017
 
2016
Expected dividend yield
3.6
%
 
3.8
%
Risk-free interest rate
2.0
%
 
1.4
%
Expected volatility
17.9
%
 
19.6
%
Expected life (years)
6.1

 
6.2


At June 30, 2017, there was $633 million of total pretax unrecognized compensation expense related to nonvested stock options, RSU and PSU awards which will be recognized over a weighted-average period of 2.2 years. For segment reporting, share-based compensation costs are unallocated expenses.