Stock-based Compensation and Outstanding Awards (Tables)

12 Months Ended

Dec. 31, 2014

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

A summary of stock option activity under the Plan as of December 31, 2014, and changes from May 30, 2014 through December 31, 2014 are presented below:


Options	Shares			Weighted-Average Exercise Price		Aggregate Intrinsic Value (in millions)
Outstanding as of May 30, 2014		3,599,654		$	30.85
Granted		—			—
Forfeited		(39,855	)		31.36
Exercised or settled		(14,280	)		27.49
Expired or canceled

Outstanding as of December 31, 2014		3,545,519		$	30.86	$	2

Exercisable at December 31, 2014		1,589,126		$	30.61	$	2

Summary of Status of the Nonvested Shares

A summary of the status of the Company’s nonvested shares as of December 31, 2014, and changes for the period from May 30, 2014 through December 31, 2014 are presented below:


RSAs / RSUs	Shares			Weighted-Average Grant-Date Fair Value

Nonvested as of May 30, 2014		1,034,055		$	31.94
Granted		1,422,708			29.02
Vested		—			—
Forfeited		(9,825	)		31.59
Expired or canceled		—			—

Nonvested as of December 31, 2014		2,446,938		$	30.24

Significant Assumptions Used to Calculate the Grant Date Fair Market Values of Options Granted

Though NOW Inc. did not grant any new options in 2014 after the Spin-Off, the following table provides the significant assumptions used to calculate the grant date fair market values of options granted prior to the Spin-Off over the years shown below, as calculated using the Black-Scholes options-pricing model.


	Year Ended December 31,
	2014			2013			2012
Valuation Assumptions:
Expected volatility		50.0	%		50.1	%		51.7	%
Risk-free interest rate		0.9	%		0.9	%		0.9	%
Expected dividends	$	0.75		$	0.75		$	0.57
Expected term (in years)		3.4			3.4			3.2