XML 31 R19.htm IDEA: XBRL DOCUMENT
v3.19.1

Stock-Based Compensation | 3 Months Ended
--- | ---
Mar. 31, 2019
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] |
Stock-Based Compensation | Stock-Based Compensation The Company has granted restricted common stock and restricted stock units (collectively, "restricted stock") and performance share units as long-term incentive awards to employees and non-employee directors under the BorgWarner Inc. 2014 Stock Incentive Plan, as amended ("2014 Plan") and the BorgWarner Inc. 2018 Stock Incentive Plan ("2018 Plan"). The Company's Board of Directors adopted the 2018 Plan as a replacement to the 2014 Plan in February 2018, and the Company's stockholders approved the 2018 Plan at the annual meeting of stockholders on April 25, 2018. After stockholders approved the 2018 Plan, the Company could no longer make grants under the 2014 Plan. The shares that were available for issuance under the 2014 Plan were cancelled upon approval of the 2018 Plan. The 2018 Plan authorizes the issuance of a total of 7 million shares, of which approximately 6 million shares were available for future issuance as of March 31, 2019. Restricted stock In the first three months of 2019, the Company granted restricted stock in the amount of 930,338 shares to employees. Restricted stock granted to employees generally vests 50% after two years and the remainder after three years on the last day of the month from the original month of the grant. Restricted stock granted to non-employee directors generally vests on the first anniversary of the date of grant. The Company recognizes the value of the restricted stock, which is equal to the market value of the Company’s common stock on the date of grant, as compensation expense ratably over the restricted stock's vesting period. As of March 31, 2019, the Company had $57 million of unrecognized compensation expense that will be recognized over a weighted average period of 2.3 years. The Company recorded restricted stock compensation expense of $7 million for both three months ended March 31, 2019 and 2018. A summary of the Company’s nonvested restricted stock for the three months ended March 31, 2019 is as follows:
| Shares subject to restriction (thousands) |  | Weighted average grant date fair value
Nonvested at December 31, 2018 | 1,516 |  |  | $ | 42.97 |
Granted | 930 |  |  | $ | 41.92 |
Vested | (665 | ) |  | $ | 35.94 |
Forfeited | (6 | ) |  | $ | 45.41 |
Nonvested at March 31, 2019 | 1,775 |  |  | $ | 44.77 |
Total Stockholder Return Performance Share Units The Company grants performance share units to members of senior management that vest at the end of three-year periods based on the Company's total stockholder return relative to a peer group of companies. The Company recorded compensation expense of $3 million and $2 million for the three months ended March 31, 2019 and 2018, respectively. A summary of the status of the Company’s nonvested total stockholder return performance share units for the three months ended March 31, 2019 is as follows:
| Number of shares (thousands) |  | Weighted average grant date fair value
Nonvested at December 31, 2018 | 297 |  |  | $ | 60.35 |
Granted | 190 |  |  | $ | 51.52 |
Forfeited | (9 | ) |  | $ | 55.30 |
Nonvested at March 31, 2019 | 478 |  |  | $ | 56.93 |
Relative Revenue Growth Performance Share Units The Company also grants performance share units to members of senior management that vest based on the Company's revenue growth relative to the vehicle market over three-year performance periods. The Company recorded a reduction in compensation expense of $1 million and compensation expense of $7 million for the three months ended March 31, 2019 and 2018, respectively. A summary of the status of the Company’s nonvested relative revenue growth performance share units for the three months ended March 31, 2019 is as follows:
| Number of shares (thousands) |  | Weighted average grant date fair value
Nonvested at December 31, 2018 | 297 |  |  | $ | 47.03 |
Granted | 190 |  |  | $ | 41.90 |
Forfeited | (9 | ) |  | $ | 44.12 |
Nonvested at March 31, 2019 | 478 |  |  | $ | 45.04 |
In 2018, the Company modified the vesting provisions of restricted stock and performance share unit grants made to certain retiring executive officers to allow certain of the outstanding awards, that otherwise would have been forfeited, to vest upon retirement. This resulted in net restricted stock and performance share unit compensation expense of $2 million in the three months ended March 31, 2019.

X
- Definition The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -URI http://asc.fasb.org/topic&trid=2228938 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 50 -URI http://asc.fasb.org/subtopic&trid=2208855 + Details
Name: | us-gaap_DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_DisclosureOfCompensationRelatedCostsSharebasedPaymentsAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration