Management Stock Plans

The Company adopted the MUAH Plan on June 8, 2015. Under the MUAH Plan, the Company grants restricted stock units settled in ADRs representing shares of common stock of the Company's indirect parent company, MUFG, to key employees at the discretion of the Human Capital Committee of the Board of Directors (the Committee). The Committee determines the number of shares, vesting requirements and other features and conditions of the restricted stock units. Under the MUAH Plan, MUFG ADRs are purchased in the open market upon the vesting of the restricted stock units, through a revocable trust. There is no amount authorized to be issued under the MUAH Plan since all shares are purchased in the open market. These awards generally vest pro-rata on each anniversary of the grant date and become fully vested three years from the grant date, provided that the employee has completed the specified continuous service requirement. Generally, the grants vest earlier if the employee dies, is permanently and totally disabled, retires under certain grant, age and service conditions, or terminates employment under certain conditions. The Company also issues a small number of off-cycle grants each year, primarily for reasons related to recruitment of new employees. The weighted-average service period for grants issued under the MUAH Plan with outstanding restricted stock units as of December 31, 2018 was 3.0 years.

Participants in the MUAH Plan are entitled to “dividend equivalent credits” on their unvested restricted stock units when MUFG pays dividends to its shareholders. The credit is equal to the dividends that the participants would have received on the shares had the shares been issued to the participants when the restricted stock units were granted. "Dividend equivalent credits" arising from grants under the MUAH Plan are paid to participants in shares on an annual basis.

The following table is a rollforward of the restricted stock units under the MUAH Plan for the year ended December 31, 2018:



	Restricted Stock Units
	2018
	Number of Units		Weighted-Average Grant Date Fair Value
Units outstanding, beginning of year	27,838,414		$	5.86
Activity during the year:
Granted	14,667,730		5.89
Vested	(13,198,540	)	5.88
Forfeited	(864,534	)	5.97
Units outstanding, end of year	28,443,070		5.86

The weighted-average grant date fair value of restricted stock units granted during 2017 and 2016 was 6.53 and 4.63, respectively. The total fair value of restricted stock units that vested during the years ended December 31, 2018, 2017, and 2016 was $78 million, $75 million, and $49 million, respectively.

The following table is a summary of the Company's compensation costs, the corresponding tax benefit, and unrecognized compensation costs:



	Years Ended December 31,
(Dollars in millions)	2018		2017		2016
Compensation costs	$	77	$	66	$	67
Tax benefit	20		26		26
Unrecognized compensation costs	110		111		96

At December 31, 2018, approximately $110 million (pretax) of compensation expense related to unvested grants had not yet been charged to net income. Unrecognized compensation costs as of December 31, 2018 are expected to be amortized into compensation expense over a weighted-average period of 1.4 years.