XML 56 R35.htm IDEA: XBRL DOCUMENT v3.22.0.1
Incentive Plans (Tables)
 12 Months Ended
Dec. 31, 2021
Share-based Payment Arrangement [Abstract]  
Schedule of deferred compensation and 401(k) plan
The Company match for the deferred compensation plan is as follows:
Year Ended December 31,
202120202019
(in millions)
Deferred compensation plan$2 $1 $2 
The Company match for the 401(k) plan is as follows:
Year Ended December 31,
202120202019
(in millions)
401(k) plan$17 $18 $27 
Schedule of number of LTIP shares available for issuance
Shares available for future grant pursuant to awards under the LTIP are as follows:
As of December 31, 2021
Approved and authorized awards12,600,000 
2014 Parsley Plan awards available to the LTIP (a)879,575 
Awards issued under plan(9,369,570)
4,110,005 
______________________
(a)Under New York Stock Exchange rules, the Company added the shares that were available under the 2014 Parsley Plan to the LTIP. These shares can only be used for grants to employees who were not employed or engaged by Pioneer or any of its subsidiaries immediately before the Parsley Acquisition and such awards may only be granted through May 22, 2024, the date that the 2014 Parsley Plan would have otherwise expired.
Schedule of number of ESPP shares available for issuance
Shares available for future issuance under the ESPP are as follows:
As of December 31, 2021
Approved and authorized shares (a)2,500,000 
Shares issued(1,172,763)
1,327,237 
Schedule of stock-based compensation expense
Stock-based compensation expense and the associated income tax benefit for awards issued under both the LTIP and ESPP are as follows:
 Year Ended December 31,
 202120202019
 (in millions)
Restricted stock - equity awards$44 $49 $79 
Restricted stock - liability awards (a)17 12 19 
Restricted stock and performance units - Parsley awards (b)33 — — 
Performance unit awards27 21 19 
Employee Stock Purchase Plan2 2 2 
Total stock-based compensation expense$123 $84 $119 
Income tax benefit$14 $7 $18 
______________________
(a)Liability Awards are expected to be settled on their vesting date in cash. As of December 31, 2021 and December 31, 2020, accounts payable – due to affiliates included $9 million and $7 million, respectively, of liabilities attributable to Liability Awards.
(b)Represents the accelerated vesting of Parsley restricted stock equity awards and performance units upon completion of the Parsley Acquisition, which was recorded to other expense in the consolidated statements of operations.
Schedule of restricted stock award activity
Restricted stock award activity is as follows:
Year Ended December 31, 2021
Equity AwardsLiability Awards
 Number of SharesWeighted
Average Grant-
Date Fair
Value		Number of shares
Beginning incentive compensation awards765,981 $130.72 221,353 
Awards granted304,142 $141.82 71,870 
Awards assumed (a)38,465 $133.25 — 
Awards forfeited(8,598)$124.33 (9,455)
Awards vested (b)(358,098)$138.28 (101,490)
Ending incentive compensation awards741,892 $131.83 182,278 
______________________
(a)Awards assumed as a result of the Parsley Acquisition that will settle in Company shares upon vesting.
(b)Per the terms of award agreements and elections, the issuance of common stock may be deferred for certain restricted stock equity awards that vest during the period.
Schedule of cash paid for vested liability awards and fair value of vested performance units
Year Ended December 31,
202120202019
(in millions)
Cash paid for vested Liability Awards$14 $16 $20 
Schedule of assumptions to estimate the fair value
Assumptions used to estimate the fair value of performance unit awards granted in each of the following years are as follows: 
202120202019
Risk-free interest rate0.18%0.68%2.49%
Range of volatilities25% -104%31% -45%28% -43%
Schedule of performance unit activity
Performance unit activity is as follows:
Year Ended December 31, 2021
Number of
Units (a)		Weighted 
Average Grant-
Date Fair
Value
Beginning performance unit awards207,430 $177.37 
Units granted173,423 $165.32 
Units vested (b)(76,167)$165.84 
Ending performance unit awards304,686 $173.39 
_____________________
(a)Amount reflects the number of performance units initially granted. The actual payout of shares upon vesting may be between zero and 250 percent of the performance units included in this table depending upon the total shareholder return ranking of the Company compared to peer companies at the vesting date.
(b)Units vested reflects the number of performance units that vest upon retirement or departure of eligible officers or when the service period on the award has ended. Awards that vest upon retirement or departure of eligible officers are not transferred to the officer until the original service period of the award lapses. None of the 76,167 units that vested are associated with eligible officer retirements in 2021. On December 31, 2021, the service period lapsed on 86,483 performance unit awards that earned 1.55 shares for each vested award resulting in 134,059 aggregate shares of common stock being issued on January 3, 2022. Of the 86,483 performance unit awards that lapsed, 10,316 units were associated with units that vested in prior years upon retirement or departure of eligible officers.