Share-based and Deferred Compensation Plans (Tables)

12 Months Ended

Dec. 29, 2012

Weighted-average assumptions used in the Black-Scholes option-pricing model

We estimated the fair value of each stock option and SAR award as of the date of grant using the Black-Scholes option-pricing model with the following weighted-average assumptions:



	2012		2011		2010
Risk-free interest rate	0.8	%	2.0	%	2.4	%
Expected term (years)	6.0		5.9		6.0
Expected volatility	29.0	%	28.2	%	30.0	%
Expected dividend yield	1.8	%	2.0	%	2.5	%

Summary of award activity

Stock Options and SARs



	Shares (in thousands)			Weighted-Average Exercise Price		Weighted- Average Remaining Contractual Term	Aggregate Intrinsic Value (in millions)
Outstanding at the beginning of the year	33,508			$	31.28
Granted	3,780			64.86
Exercised	(7,192	)		23.75
Forfeited or expired	(1,484	)		40.91
Outstanding at the end of the year	28,612		^(a)	$	37.05	5.90	$	793
Exercisable at the end of the year	16,813			$	30.05	4.60	$	583


(a)	Outstanding awards include 4,671 options and 23,941 SARs with average exercise prices of $28.31 and $38.75, respectively.

Impact on net income

The components of share-based compensation expense and the related income tax benefits are shown in the following table:



	2012		2011		2010
Options and SARs	$	42	$	49	$	40
Restricted Stock Units	5		5		5
Performance Share Units	3		5		2
Total Share-based Compensation Expense	$	50	$	59	$	47
Deferred Tax Benefit recognized	$	15	$	18	$	13

EID compensation expense not share-based	$	5	$	2	$	4