Share-Based Compensation Plans

The following table summarizes share-based compensation expense recognized in the Condensed Consolidated Statements of Income in Compensation and benefits (in millions):



	Three months ended September 30,				Nine months ended September 30,
	2014		2013		2014		2013
Restricted share units ("RSUs")	$	41	$	40	$	144	$	135
Performance share awards ("PSAs")	29		28		96		66
Share options	—		—		—		1
Employee share purchase plans	2		2		7		5
Total share-based compensation expense	$	72	$	70	$	247	$	207

Restricted Share Units

A summary of the status of the Company's RSUs is as follows (shares in thousands):



	Nine months ended September 30,
	2014				2013
	Shares		Fair Value (1)		Shares		Fair Value (1)
Non-vested at beginning of period	9,759		$	51	10,432		$	44
Granted	2,675		84		3,598		62
Vested	(3,561	)	49		(3,618	)	44
Forfeited	(385	)	56		(308	)	47
Non-vested at end of period	8,488		63		10,104		51

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(1)	Represents per share weighted average fair value of award at date of grant.

Performance Share Awards

The vesting of PSAs is contingent upon meeting a level of earnings per share performance over a three-year period. The performance conditions are not considered in the determination of the grant date fair value for these awards. The fair value of PSAs is based upon the market price of an Aon ordinary share at the date of grant. Compensation expense is recognized over the performance period based on management's estimate of the number of units expected to vest. Compensation expense is adjusted to reflect the actual number of shares issued at the end of the programs. The actual issue of shares may range from 0-200% of the target number of PSAs granted, based on the terms of the plan and level of achievement of the related performance target. Dividend equivalents are not paid on PSAs.

Information as of September 30, 2014 regarding the Company's target PSAs granted and shares that would be issued at current performance levels for PSAs granted during the nine months ended September 30, 2014 and the years ended December 31, 2013 and 2012, respectively, is as follows (shares in thousands, dollars in millions, except fair value):



	As of September 30, 2014		As of December 31, 2013		As of December 31, 2012
Target PSAs granted	816		1,135		1,369
Fair value (1)	$	81	$	58	$	47
Number of shares that would be issued based on current performance levels	804		2,211		2,656
Unamortized expense, based on current performance levels	$	52	$	57	$	11

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(1)	Represents per share weighted average fair value of award at date of grant.

Share Options

The Company did not grant any share options during either the nine months ended September 30, 2014 or 2013.

A summary of the status of the Company's share options and related information is as follows (shares in thousands):



	Nine months ended September 30,
	2014				2013
	Shares		Weighted- Average Exercise Price		Shares		Weighted- Average Exercise Price
Beginning outstanding	3,462		$	32	5,611		$	32
Granted	—		—		—		—
Exercised	(953	)	32		(1,694	)	32
Forfeited and expired	(6	)	37		(29	)	34
Outstanding at end of period	2,503		32		3,888		32
Exercisable at end of period	2,464		32		3,681		32

The weighted average remaining contractual life, in years, of outstanding options was 1.7 years and 2.2 years at September 30, 2014 and 2013, respectively.

The aggregate intrinsic value represents the total pretax intrinsic value, based on options with an exercise price less than the Company's closing share price of $87.67 as of September 30, 2014, which would have been received by the option holders had those option holders exercised their options as of that date. At September 30, 2014, the aggregate intrinsic value of options outstanding was $138 million, of which $137 million was exercisable.

Other information related to the Company's share options is as follows (in millions):



	Three months ended September 30,				Nine months ended September 30,
	2014		2013		2014		2013
Aggregate intrinsic value of stock options exercised	$	6	$	14	$	51	$	53
Cash received from the exercise of stock options	3		14		30		55
Tax benefit realized from the exercise of stock options	2		3		14		10

Unamortized deferred compensation expense, which includes both options and awards, amounted to $395 million as of September 30, 2014, with a remaining weighted-average amortization period of approximately 2.1 years.