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Stock Incentive Plans (Notes)
 6 Months Ended
Jun. 30, 2012
Stock Incentive Plans [Abstract]  
Disclosure of Stock Incentive Plans [Text Block]
Stock Incentive Plans

Long-Term Incentive Plan

We granted 7 million and 5 million RSUs valued at the grant date fair value of our common stock in the six months ended June 30, 2012 and 2011. These awards granted either cliff vest or ratably vest generally over a three-year service period, as defined in the terms of each award. We have elected to record compensation cost for these awards on a straight-line basis over the entire vesting period. Our policy is to issue new shares upon settlement of RSUs.

The 2012 awards granted to the Top 25 highest compensated employees will settle on the second and third anniversary dates of grant in 25% increments in conjunction with each 25% of our Troubled Asset Relief Program (TARP) obligations that are repaid. The awards for the Next 75 and non-Top 100 highest compensated employees will vest and settle on the second and third anniversary dates of grant. Vesting and subsequent settlement will generally occur based upon employment at the end of each specified service period.

The 2011 awards granted to the Top 25 highest compensated employees will settle three years from the grant date in 25% increments in conjunction with each 25% of our TARP obligations that are repaid. The awards for the Next 75 highest compensated employees will settle either: (1) three years from the date of grant; or (2) on the first and third anniversary dates of grant. The awards to the non-Top 100 highest compensated employees will settle on the first, second and third anniversary dates of grant. Vesting and subsequent settlement will generally occur based upon employment at the end of each specified service period.

Salary Stock

In the six months ended June 30, 2012 and 2011 a portion of each participant's salary accrued on each salary payment date converted to RSUs on a quarterly basis. The awards are fully vested and nonforfeitable upon grant, therefore compensation cost is fully recognized on the date of grant. In March 2012 we amended the plan to provide for cash settlement of awards. As a result we will now settle these awards in cash and we reclassified $97 million from Capital surplus to Accrued liabilities and Other liabilities and deferred income taxes. The liability for these awards is remeasured to fair value at the end of each reporting period. Prior to this amendment it was our policy to issue new shares upon settlement of these awards.

RSUs

The following table summarizes information about the RSUs under our stock incentive plans (RSUs in millions):
 
Shares
 
Weighted-
Average
Grant Date
Fair Value
 
Weighted-Average
Remaining
Contractual
Term
RSUs outstanding at January 1, 2012
22.5

 
$
23.01

 
1.1
Granted
8.0

 
$
25.11

 
 
Settled
(1.9
)
 
$
31.65

 
 
Forfeited or expired
(0.7
)
 
$
25.02

 
 
RSUs outstanding at June 30, 2012
27.9

 
$
22.95

 
1.2
RSUs unvested and expected to vest at June 30, 2012
18.0

 
$
23.62

 
1.5
RSUs vested and payable at June 30, 2012
9.3

 
$
21.47

 
—

The following table summarizes compensation expense recorded for our stock incentive plans (dollars in millions):
 
Three Months Ended
 
Six Months Ended
 
June 30, 2012
 
June 30, 2011
 
June 30, 2012
 
June 30, 2011
Compensation expense
$
55

 
$
60

 
$
127

 
$
113



The compensation cost of each RSU that will be settled in equity is based on the fair value of our common stock on the date of grant or, for those RSUs reclassified from liability to equity-based awards, the fair value of our common stock as of the date of the public offering.

At June 30, 2012 the total unrecognized compensation expense for nonvested equity awards was $307 million. This expense is expected to be recorded over a weighted-average period of 1.5 years.

The total fair value of RSUs that vested in the six months ended June 30, 2012 and 2011 was $82 million and $49 million.