STOCK OPTION AND RESTRICTED STOCK UNIT AWARDS (Tables)

12 Months Ended

Oct. 30, 2022

STOCK OPTION AND RESTRICTED STOCK UNIT AWARDS

Share-based Compensation Expense, Recognized Tax Benefits, and Total Grant-date Fair Value

The total share-based compensation expense, recognized income tax benefits, and total grant-date fair values of stock options and

restricted stock units vested consisted of the following in millions of dollars:

	2022		2021		2020
Share-based compensation expense	$	85	$	82	$	81
Income tax benefits		17		16		19
Stock options and restricted stock units vested		74		93		79

Assumptions Used for the Binomial Lattice Model to Determine Fair Value of Options

The assumptions used for the binomial lattice model to determine the fair value of options follow:

	2022	2021	2020
Risk-free interest rate*	1.27%	.47%	1.67%
Expected dividends	1.2%	1.2%	1.8%
Volatility*	32.0%	31.0%	26.0%
Expected term (in years)*	5.1	5.5	5.7

*    Weighted-averages

Stock Option Activity

The activity for outstanding stock options at October 30, 2022, and changes during 2022 in millions of dollars and shares follow:

				Remaining
				Contractual	Aggregate
		Exercise		Term	Intrinsic
	Shares	Price*		(Years)	Value
Outstanding at beginning of year	2.5	$	127.82
Granted	.2		343.94
Exercised	(.6)		105.85
Forfeited	(.1)		290.65
Outstanding at end of year	2.0		153.11	4.81	$	497.2
Exercisable at end of year	1.6		119.16	3.79		436.9

*    Weighted-averages

Amounts Related to Stock Options

The amounts related to stock options were as follows in millions of dollars unless otherwise noted:

	2022		2021		2020
Weighted-average grant date fair values (per share)	$	89.20	$	62.73	$	35.83
Intrinsic value of options exercised	$	169	$	318	$	398
Cash received from exercises		63		148		331
Tax benefit from exercises		39		71		93

Weighted-average Grant Date Fair Values

The weighted-average grant date fair values were as follows:

	2022		2021		2020
Service-based	$	347.59	$	258.86	$	168.94
Performance/service-based		331.47		245.73		160.81

Restricted Stock Units Activity

The company’s restricted stock units at October 30, 2022 and changes during 2022 in thousands of shares follow:

		Grant-Date
	Shares	Fair Value*
Service-based
Nonvested at beginning of year	486	$	190.87
Granted	139		347.59
Vested	(208)		173.62
Forfeited	(13)		259.72
Nonvested at end of year	404		251.42
Performance/service based
Nonvested at beginning of year	197	$	171.82
Granted	37		331.47
Vested	(168)		139.37
Performance change	84		139.37
Forfeited	(7)		267.13
Nonvested at end of year	143		227.70

* Weighted-averages