Note 10 - Employee Compensation and Benefit Plans

On June 13, 2018, our stockholders approved an amendment to the 2013 Omnibus Incentive Plan (as amended, the “Plan”) which increased the number of shares authorized for issuance under the Plan by 18,500,000 shares, and on June 18, 2018, we filed a Form S-8 to register a total of 19,345,005 shares of common stock pursuant to the Plan, representing those covered by the amendment and certain other predecessor plans.

During the six months ended June 30, 2018, we granted or assumed an aggregate of 5,766,642 restricted stock units (“RSUs”) and restricted stock awards (“RSAs”) to eligible employees, certain non-employee directors, and eligible key executives, which primarily included annual awards.

During the six months ended June 30, 2018, we granted an aggregate of 3,168,197 performance-based restricted stock units (“PRSUs”) to eligible key executives, which primarily included annual awards. In addition, in connection with the entry into a Business Combination Agreement to merge with Sprint, in April 2018 we granted an aggregate of 1,210,710 PRSUs to certain executive officers.

As discussed in Note 3 - Business Combinations, in January 2018, we completed our acquisition of Layer3 TV. The grant-date fair value of share-based incentive compensation awards attributable to post-combination services was approximately $30 million.

Stock-based compensation expense and related income tax benefits were as follows:



	Three Months Ended June 30,				Six Months Ended June 30,
(in millions, except shares, per share and contractual life amounts)	2018		2017		2018		2017
Stock-based compensation expense	$	112	$	72	$	209	$	139
Income tax benefit related to stock-based compensation	$	22	$	16	$	42	$	32
Weighted average fair value per stock award granted	$	72.32	$	63.94	$	61.86	$	63.24
Unrecognized compensation expense	$	712	$	478	$	712	$	478
Weighted average period to be recognized (years)	2.1		1.9		2.1		1.9
Fair value of stock awards vested	$	30	$	12	$	267	$	295

Restricted Stock Units and Restricted Stock Awards



(in millions, except shares, per share and contractual life amounts)	Number of Units or Awards	Weighted Average Grant Date Fair Value		Weighted Average Remaining Contractual Term (Years)	Aggregate Intrinsic Value
Nonvested, December 31, 2017	12,061,608	$	50.69	1.1	$	766
Granted	5,766,642	59.91
Vested	3,448,666	45.03
Forfeited	450,845	56.39
Nonvested, June 30, 2018	13,928,739	55.94		1.2	832

Performance-Based Restricted Stock Units



(in millions, except shares, per share and contractual life amounts)	Number of Units	Weighted Average Grant Date Fair Value		Weighted Average Remaining Contractual Term (Years)	Aggregate Intrinsic Value
Nonvested, December 31, 2017	1,633,935	$	48.06	1.1	$	104
Granted	3,168,197	65.97
Vested	1,006,769	36.47
Forfeited	11,580	66.32
Nonvested, June 30, 2018	3,783,783	62.62		1.9	226

PRSUs included in the table above are shown at target. Share payout can range from 0 to 200% based on different performance outcomes.