XML 80 R48.htm IDEA: XBRL DOCUMENT
v3.24.0.1

Stock-Based Compensation (Tables) | 12 Months Ended
--- | ---
Dec. 31, 2023
Share-Based Payment Arrangement, Noncash Expense [Abstract] |
Stock-based compensation | The following table summarizes stock-based compensation expense recognized during 2023, 2022 and 2021:
Year Ended December 31, | 2023 |  | 2022 |  | 2021
(Dollars in millions) |  |  |  |  |
Stock option awards | $ | — |  |  | $ | 1 |  |  | $ | 2 |
Restricted stock unit awards | 32 |  |  | 28 |  |  | 29 |
Performance share unit awards | 7 |  |  | 11 |  |  | 16 |
Awards under Non-Employee Director compensation plan | 2 |  |  | 2 |  |  | 2 |
Total stock-based compensation, before income taxes | 41 |  |  | 42 |  |  | 49 |
Income tax benefit | (10) |  |  | (11) |  |  | (12) |
Total stock-based compensation expense, net of income taxes | $ | 31 |  |  | $ | 31 |  |  | $ | 37 |
Stock-based compensation, allocation by financial statement line item | The following table provides a summary of the classification of stock-based compensation expense included in the Consolidated Statement of Operations for the years ended:
December 31, | 2023 |  | 2022 |  | 2021
(Dollars in millions) |  |  |  |  |
Selling, general and administrative expense | $ | 36 |  |  | $ | 36 |  |  | $ | 44 |
Cost of services expense | 5 |  |  | 6 |  |  | 5 |
Total stock-based compensation expense | $ | 41 |  |  | $ | 42 |  |  | $ | 49 |
Summary of nonvested restricted stock units | A summary of TDS nonvested restricted stock units and changes during 2023 is presented in the table below:
Common Restricted Stock Units | Number |  | Weighted Average Grant Date Fair Value
Nonvested at December 31, 2022 | 1,824,000 |  |  | $ | 18.16 |
Granted | 2,473,000 |  |  | $ | 5.23 |
Vested | (532,000) |  |  | $ | 17.24 |
Forfeited | (130,000) |  |  | $ | 10.89 |
Nonvested at December 31, 2023 | 3,635,000 |  |  | $ | 9.76 |
A summary of UScellular nonvested restricted stock units and changes during 2023 is presented in the table below:
Common Restricted Stock Units | Number |  | Weighted Average Grant Date Fair Value
Nonvested at December 31, 2022 | 2,000,000 |  |  | $ | 31.84 |
Granted | 1,286,000 |  |  | $ | 21.15 |
Vested | (526,000) |  |  | $ | 28.73 |
Forfeited | (212,000) |  |  | $ | 28.93 |
Nonvested at December 31, 2023 | 2,548,000 |  |  | $ | 27.26 |
Summary of nonvested performance share units | A summary of TDS nonvested performance share units and changes during 2023 is presented in the table below:
Common Performance Share Units | Number |  | Weighted Average Grant Date Fair Value
Nonvested at December 31, 2022 | 1,349,000 |  |  | $ | 19.81 |
Granted | 1,343,000 |  |  | $ | 7.14 |
Vested | (391,000) |  |  | $ | 19.15 |
Change in units based on approved performance factors | 10,000 |  |  | $ | 19.15 |
Forfeited | (216,000) |  |  | $ | 16.79 |
Accumulated dividend equivalents | 106,000 |  |  | $ | 13.21 |
Nonvested at December 31, 2023 | 2,201,000 |  |  | $ | 12.17 |
A summary of UScellular’s nonvested performance share units and changes during 2023 is presented in the table below:
Common Performance Share Units | Number |  | Weighted Average Grant Date Fair Value
Nonvested at December 31, 2022 | 1,248,000 |  |  | $ | 32.51 |
Granted | 643,000 |  |  | $ | 21.26 |
Vested | (300,000) |  |  | $ | 28.41 |
Forfeited | (134,000) |  |  | $ | 26.53 |
Nonvested at December 31, 2023 | 1,457,000 |  |  | $ | 27.37 |
Stock-based compensation, fair value assumptions | TDS estimated the fair value of stock options granted in 2021 using the Black-Scholes valuation model and the assumptions shown in the table below:
|  | 2021
Expected life |  | 6.3 years
Expected annual volatility rate |  | 36.6 | %
Dividend yield |  | 2.8 | %
Risk-free interest rate |  | 1.1 | %
Summary of stock options | A summary of TDS stock options (total and portion exercisable) and changes during 2023 is presented in the tables and narrative below.
Common Share Options | Number of Options |  | Weighted Average Exercise Prices |  | Aggregate Intrinsic Value (in millions) |  | Weighted Average Remaining Contractual Life (in years)
Outstanding at December 31, 2022 | 3,098,000 |  |  | $ | 26.37 |  |  |  |  |
Exercised | (7,000) |  |  | $ | 19.15 |  |  |  |  |
Forfeited | (18,000) |  |  | $ | 22.66 |  |  |  |  |
Expired | (556,000) |  |  | $ | 25.02 |  |  |  |  |
Outstanding at December 31, 2023 | 2,517,000 |  |  | $ | 26.72 |  |  | $ | — |  |  | 3.5
(2,280,000 exercisable) |  |  | $ | 26.86 |  |  | $ | — |  |  | 3.1

X
- Definition Tabular disclosure of cost recognized for award under share-based payment arrangement by plan. Includes, but is not limited to, related tax benefit. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (h)(1) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480429/718-10-50-2 + Details
Name: | us-gaap_ScheduleOfCompensationCostForShareBasedPaymentArrangementsAllocationOfShareBasedCompensationCostsByPlanTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of allocation of amount expensed and capitalized for award under share-based payment arrangement to statement of income or comprehensive income and statement of financial position. Includes, but is not limited to, corresponding line item in financial statement. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (h)(1) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480429/718-10-50-2 + Details
Name: | us-gaap_ScheduleOfEmployeeServiceShareBasedCompensationAllocationOfRecognizedPeriodCostsTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the changes in outstanding nonvested performance-based units. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (c)(2) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480429/718-10-50-2 + Details
Name: | us-gaap_ScheduleOfNonvestedPerformanceBasedUnitsActivityTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the changes in outstanding nonvested restricted stock units. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (c)(2) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480429/718-10-50-2 + Details
Name: | us-gaap_ScheduleOfNonvestedRestrictedStockUnitsActivityTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure for stock option plans. Includes, but is not limited to, outstanding awards at beginning and end of year, grants, exercises, forfeitures, and weighted-average grant date fair value. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (c)(1) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480429/718-10-50-2 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (d) -SubTopic 10 -Topic 718 -Publisher FASB -URI https://asc.fasb.org//1943274/2147480429/718-10-50-2 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (e) -SubTopic 10 -Topic 718 -Publisher FASB -URI https://asc.fasb.org//1943274/2147480429/718-10-50-2 + Details
Name: | us-gaap_ScheduleOfShareBasedCompensationStockOptionsActivityTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the significant assumptions used during the year to estimate the fair value of stock options, including, but not limited to: (a) expected term of share options and similar instruments, (b) expected volatility of the entity's shares, (c) expected dividends, (d) risk-free rate(s), and (e) discount for post-vesting restrictions. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 718 -SubTopic 10 -Subparagraph (f)(2) -Name Accounting Standards Codification -Paragraph 2 -Section 50 -Publisher FASB -URI https://asc.fasb.org//1943274/2147480429/718-10-50-2 + Details
Name: | us-gaap_ScheduleOfShareBasedPaymentAwardStockOptionsValuationAssumptionsTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

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