Stock-Based Compensation (Tables)

12 Months Ended

Dec. 31, 2020

Share-based Payment Arrangement [Abstract]

We measure the cost of all share-based payments, including stock options and stock appreciation rights, at fair value on the grant date and recognize this cost in the Consolidated Statement of Operations, net of expected forfeitures, as follows:


(dollars in millions)	2020		2019		2018
Total compensation cost recognized	$	330	$	268	$	169

Schedule of Stock Options Roll Forward [Table Text Block]

A summary of the transactions under our long-term incentive plans for the years ended December 31, 2020 follows. The amounts in the tables and paragraphs below have not been recast for discontinued operations.


	Stock Options			Stock Appreciation Rights			Performance Share Units			Restricted Stock and RSUs
(shares and units in thousands)	Shares	Average Price (1)		Shares	Average Price (1)		Units	Average Price (1)		Units	Average Price (1)
Outstanding at:











December 31, 2019	1,568	$	106.75	32,713	$	108.61	1,919	$	120.04	3,319	$	119.34
Granted	262	153.00		6,346	152.45		—	—		1,718	119.86

Exercised / earned	(144)	77.02		(3,755)	83.78		(527)	111.17		(2,622)	72.13
Cancelled	(18)	92.36		(991)	95.30		(48)	110.18		(267)	79.66
Conversion impact - Separation and Distribution (2)	276	43.71		(763)	38.00		(1,344)	46.58		2,404	42.69
Conversion impact - Raytheon Merger (3)	—	—		—	—		—	—		6,482	51.00
December 31, 2020	1,944	$	77.88	33,550	$	77.93	—	$	—	11,034	$	62.92

(1) Weighted-average grant / exercise price.

(2) Represents UTC awards converted for the Separation and Distribution and conversion of performance share units to RSUs as discussed further above.

(3) Represents Raytheon Company awards converted to RTC restricted stock and RSUs in accordance with the Raytheon Merger.

Disclosure Of Share Based Compensation Arrangements By Share Based Payment Award Text Block

The following table summarizes information about equity awards outstanding that are vested and expected to vest as well as equity awards outstanding that are exercisable at December 31, 2020:


	Equity Awards Vested and Expected to Vest						Equity Awards That Are Exercisable
(shares in thousands; aggregate intrinsic value in millions)	Awards	Average Price (1)		Aggregate Intrinsic Value		Remaining Term (2)	Awards	Average Price (1)		Aggregate Intrinsic Value		Remaining Term (2)
Stock Options	1,923	$	77.82	$	—	6.49	754	$	74.28	$	2,414	3.86
Stock Appreciation Rights	33,164	77.86		—		6.34	16,766	75.51		42,783		4.45

Restricted Stock and RSUs	10,589	63.07		—		1.63

(1) Weighted-average exercise price per share.

(2) Weighted-average contractual remaining term in years.

Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]

Lattice-based option models incorporate ranges of assumptions for inputs; those ranges are as follows:


	2020		2019		2018
Expected volatility	18.8%		18.8% - 19.7%		17.5% - 21.1%
Weighted-average volatility	19	%	20	%	18	%
Expected term (in years)	6.5		6.5 - 6.6		6.5 - 6.6
Expected dividend yield	1.9	%	2.4	%	2.2	%
Risk-free rate	1.4% - 1.6%		2.3% - 2.7%		1.3% - 2.7%