Stock Plans (Tables)

12 Months Ended

Dec. 31, 2016

Weighted-Average Black-Scholes Fair Value Assumptions

Our weighted-average Black-Scholes fair value assumptions were:


	Risk-Free Interest Rate		Expected Life		Expected Volatility		Expected Dividend Yield		Fair Value at Grant Date

2016		1.40%		6 years		23.11%		1.61%	$	7.86
2015		1.70%		6 years		18.51%		1.61%	$	6.12
2014		1.87%		6 years		21.48%		1.64%	$	6.60

Stock Options Activity

Stock option activity is reflected below:


				Weighted-
				Average		Average
				Exercise or		Remaining		Aggregate
	Shares Subject			Grant Price		Contractual		Intrinsic
	to Option			Per Share		Term		Value

Balance at January 1, 2014		55,783,439		$	21.96			$	744 million

Annual grant to eligible employees		9,919,810			34.17
Additional options issued		500,250			33.65

Total options granted		10,420,060			34.14
Options exercised ⁽¹⁾		(8,076,550	)		20.85			$	125 million
Options cancelled		(1,695,398	)		27.65

Balance at December 31, 2014		56,431,551			24.19			$	685 million

Annual grant to eligible employees		8,899,530			36.94
Additional options issued		901,340			35.84

Total options granted		9,800,870			36.84
Options exercised ⁽¹⁾		(6,444,515	)		22.94			$	108 million
Options cancelled		(2,753,798	)		32.35

Balance at December 31, 2015 ⁽²⁾		57,034,108			26.12			$	1,068 million

Annual grant to eligible employees		7,517,290			39.70
Additional options issued		115,800			42.26

Total options granted		7,633,090			39.74
Options exercised ⁽¹⁾		(8,883,101	)		24.09			$	174 million
Options cancelled		(2,182,485	)		35.23

Balance at December 31, 2016		53,601,612			28.02		6 years	$	874 million

Exercisable at December 31, 2016		39,016,883			24.43		5 years	$	777 million

(1)

Cash received from options exercised was $221 million in 2016, $148 million in 2015 and $168 million in 2014. The actual tax benefit realized for the tax deductions from the option exercises totaled $31 million in 2016, $58 million in 2015 and $29 million in 2014.

(2)

Prior-year aggregate intrinsic value has been revised.

Deferred stock unit, performance share unit and restricted stock

Deferred Stock Unit, Performance Share Unit, and Restricted Stock Activity

Our deferred stock unit, performance share unit and restricted stock activity is reflected below:


						Weighted-Average		Weighted-Average
	Number					Fair Value		Aggregate
	of Shares			Grant Date		Per Share		Fair Value

Balance at January 1, 2014		11,648,587				$	24.48

Annual grant to eligible employees:					Feb. 19, 2014
Performance share units		1,143,620					34.97
Restricted stock		750,410					34.17
Deferred stock units		1,240,820					34.17
Additional shares granted ⁽¹⁾		935,463			Various		33.15

Total shares granted		4,070,313					34.16	$	139 million
Vested ⁽²⁾		(4,380,452	)				22.98	$	101 million
Forfeited ⁽²⁾		(755,808	)				28.14

Balance at December 31, 2014		10,582,640					28.56

Annual grant to eligible employees:					Feb. 18, 2015
Performance share units		1,598,290					36.94
Restricted stock		386,910					36.94
Deferred stock units		866,640					36.94
Additional shares granted ⁽¹⁾		1,087,322			Various		39.35

Total shares granted		3,939,162					37.61	$	148 million
Vested ⁽²⁾		(3,905,745	)				37.83	$	148 million
Forfeited ⁽²⁾		(1,197,841	)				32.51

Balance at December 31, 2015		9,418,216					28.00

Annual grant to eligible employees:					Feb. 22, 2016
Performance share units		1,406,500					39.70
Deferred stock units		1,040,790					39.70
Additional shares granted ⁽¹⁾		864,851			Various		31.29

Total shares granted		3,312,141					37.50	$	124 million
Vested ⁽²⁾		(3,992,902	)				40.22	$	161 million
Forfeited ⁽²⁾		(1,143,828	)				37.49

Balance at December 31, 2016		7,593,627					24.29

(1)

Includes performance share units, deferred stock units and restricted stock.

(2)

Includes performance share units, deferred stock units and restricted stock. The actual tax benefit realized for the tax deductions from the shares vested totaled $18 million in 2016, $18 million in 2015 and $20 million in 2014.