Incentive Plans (Tables)

9 Months Ended

Sep. 30, 2022

Share-Based Payment Arrangement [Abstract]

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 September 30, 2022
Approved and authorized awards	12,600,000
2014 Parsley Plan awards available to the LTIP (a)	879,575
Awards issued under plan	(9,591,571)
	3,888,004

______________________

(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 stock-based compensation expense

Stock-based compensation expense is as follows:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2022		2021		2022		2021
	(in millions)
Restricted stock - equity awards	$	11	$	11	$	33	$	32
Restricted stock - liability awards (a)	6		3		17		12
Restricted stock and performance units - Parsley awards (b)	—		—		—		33
Performance unit awards	8		6		24		20
Employee Stock Purchase Plan	1		1		2		2
	$	26	$	21	$	76	$	99

______________________

(a)Liability Awards are expected to be settled on their vesting date in cash. As of September 30, 2022 and December 31, 2021, accounts payable – due to affiliates included $3 million and $9 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

Activity for restricted stock awards, performance units and stock options is as follows:

	Nine Months Ended September 30, 2022
	Restricted Stock Equity Awards	Restricted Stock Liability Awards	Performance Units	Stock Options
Beginning incentive compensation awards	741,892	182,278	304,686	6,039
Awards granted	249,765	49,748	114,066	—
Awards forfeited	(40,521)	(9,098)	(6,226)	—
Awards vested (a)	(455,408)	(98,996)	(25,659)	—
Options exercised	—	—	—	(6,039)
Ending incentive compensation awards	495,728	123,932	386,867	—

______________________

(a)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.