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Share-Based Compensation
 3 Months Ended
Mar. 31, 2023
Share-Based Payment Arrangement [Abstract]  
Share-Based Compensation Share-Based Compensation
Restricted Share Units (“RSUs”)
2023 Grant - During the three months ended March 31, 2023, the Company granted both time-based and performance-based awards to certain members of management. A total of 855,384 of time-based awards were granted to management which will vest ratably over a three-year period ending March 5, 2026. A total of 855,386 of performance-based awards were granted, of which 427,693 of the awards vest based on a relative Total Shareholder Return ("TSR") calculation and 427,693 of the awards vest based on certain performance metrics of the Company. The non-TSR performance-based awards vest on March 5, 2026 based on the actual 2025 annual return on invested capital (ROIC). Similar to the Company's historical TSR awards
granted in prior years, the TSR awards vest based on the Company's three-year TSR versus the peer group performance levels. Given these terms, the TSR metric is considered a market condition for which we used a Monte Carlo simulation to determine the weighted average grant date fair value of $22.45. The following weighted average assumptions were utilized to value the TSR grants:
2023
Dividend yield— %
Expected historical volatility67.1 %
Risk free interest rate4.47 %
Expected life (in years)3
The unrecognized compensation cost associated with all unvested awards at March 31, 2023 was $48 million, adjusted for estimated forfeitures, which is expected to be recognized over a weighted-average period of approximately 2.3 years.
During both the three months ended March 31, 2023 and 2022, we recorded $6 million and $7 million, respectively, of stock compensation expense.