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Employee Stock Ownership Plan
12 Months Ended
Dec. 31, 2013
Notes to Financial Statements [Abstract]  
Employee Stock Ownership Plan
Employee Stock Ownership Plan

In 1989, the Company expanded its Employee Stock Ownership Plan (ESOP) through the introduction of a leveraged ESOP that funds certain benefits for employees who have met eligibility requirements. The ESOP issued $410 of long-term notes due through July 2009 bearing an average interest rate of 8.7%. The notes, which were guaranteed by the Company, were repaid in July 2009. The ESOP used the proceeds from the notes issuance to purchase 6,315,149 shares of Series B Convertible Preference stock (the Series B Preference stock) from the Company. As a result of rules issued by the IRS related to employer stock held in defined contribution plans, the Company issued a notice of redemption with respect to the remaining shares of Series B Preference stock outstanding on December 29, 2010. At the direction of the Company’s ESOP trustee, these shares of Series B Preference stock were converted into 38,483,072 shares of common stock, adjusted for the 2013 Stock Split (see Note 8, Capital Stock and Stock-Based Compensation Plans). As of December 31, 2013 and 2012, there were 29,119,135 and 31,221,296 shares of common stock, respectively, outstanding and issued to the Companys ESOP. The common stock for the conversion was issued from treasury shares.  

During 2000, the ESOP entered into a loan agreement with the Company under which the benefits of the ESOP may be extended through 2035. As of December 31, 2013, the ESOP had outstanding borrowings from the Company of $33, which represents unearned compensation shown as a reduction in Shareholders’ equity.

Dividends on stock held by the ESOP are paid to the ESOP trust and, together with cash contributions from the Company, are (a) used by the ESOP to repay principal and interest, (b) credited to participant accounts or (c) used for contributions to the Company’s defined contribution plans. Stock is allocated to participants based upon the ratio of the current year’s debt service to the sum of total principal and interest payments over the life of the debt. As of December 31, 2013, 19,171,587 shares of common stock were released and allocated to participant accounts and 9,947,548 shares of common stock were available for future allocation to participant accounts.

Dividends on the stock used to repay principal and interest or credited to participant accounts are deductible for income tax purposes and, accordingly, are reflected net of their tax benefit in the Consolidated Statements of Changes in Shareholders’ Equity.

Annual expense related to the leveraged ESOP from the ESOP was $0 in 2013, 2012 and 2011.

The Company paid dividends on the shares held by the ESOP of $41 in 2013, $40 in 2012 and $42 in 2011. The Company did not make any contributions to the ESOP in 2013, 2012 or 2011.