XML 52 R33.htm IDEA: XBRL DOCUMENT v3.22.4
Stock-based compensation (Tables)
 12 Months Ended
Dec. 31, 2022
Share-Based Payment Arrangement [Abstract]  
Components of stock-based compensation expense recognized in the Consolidated Statements of Income
The following table reflects the components of stock-based compensation expense recognized in our Consolidated Statements of Income (in millions):
Years ended December 31,
202220212020
RSUs$227 $183 $178 
Performance units132 121 118 
Stock options42 37 34 
Total stock-based compensation expense, pretax401 341 330 
Tax benefit from stock-based compensation expense(86)(74)(72)
Total stock-based compensation expense, net of tax$315 $267 $258 
Summary of RSUs
The following table summarizes information regarding our RSUs:
Year ended December 31, 2022
Units
(in millions)		Weighted-average
grant date
fair value
Balance nonvested as of December 31, 2021
3.0 $217.95 
Granted1.0 $234.47 
Vested(0.9)$201.47 
Forfeited(0.3)$226.15 
Balance nonvested as of December 31, 2022
2.8 $228.71 
Weighted-average assumptions used and the resulting weighted-average grant date fair value of stock options
The weighted-average assumptions used in the option valuation model and the resulting weighted-average grant date fair values of stock options granted were as follows:
Years ended December 31,
202220212020
Closing price of our common stock on grant date$230.92$237.17 $236.36 
Expected volatility (average of implied and historical volatility)24.5 %25.6 %28.1 %
Expected life (in years)5.75.75.8
Risk-free interest rate2.8 %1.0 %0.4 %
Expected dividend yield3.3 %2.9 %3.0 %
Fair value of stock options granted$42.43$40.43 $42.34 
Summary of stock options
The following table summarizes information regarding our stock options:
Year ended December 31, 2022
Options
(in millions)		Weighted-
average
exercise price		Weighted-
average
remaining
contractual
life (in years)		Aggregate
intrinsic
value
(in millions)
Balance unexercised as of December 31, 20215.1 $197.27 
Granted1.1 $230.92 
Exercised(0.7)$167.44 
Expired/forfeited(0.2)$226.35 
Balance unexercised as of December 31, 2022
5.3 $207.29 7.0$295 
Vested or expected to vest as of December 31, 2022
5.2 $206.47 7.0$290 
Exercisable as of December 31, 2022
2.2 $177.48 5.3$187 
Weighted average assumptions used and the resulting weighted average grant date fair value of performance units The weighted-average assumptions used in the payout simulation model and the resulting weighted-average grant date fair values of performance units granted were as follows:
Years ended December 31,
202220212020
Closing price of our common stock on grant date$230.92 $239.64 $236.36 
Volatility28.1 %29.3 %27.5 %
Risk-free interest rate0.3 %0.3 %0.2 %
Fair value of units granted$247.48 $254.68 $249.07