v3.26.3
Stock-Based Compensation Plans
 9 Months Ended
Sep. 30, 2026
Share-Based Payment Arrangement [Abstract]  
Stock-Based Compensation Plans Stock-Based Compensation Plans
The Company grants stock option awards, restricted share units (“RSUs”), performance share units (“PSUs”), and cash awards pursuant to the 2021 Incentive Stock Plan.

Stock-based compensation expenses incurred by the Company were as follows:

Three Months Ended
September 30,		Nine Months Ended
September 30,
($ in millions)2026202520262025
Stock-based compensation expense recognized in:
Cost of sales$4 $4 $11 $12 
Selling, general and administrative 14 16 43 46 
Research and development3 4 11 12 
Total$21 $24 $65 $70 
Income tax benefits$5 $5 $14 $15 

The fair value of options granted was determined using the following assumptions:

Nine Months Ended September 30,
2025
Expected dividend yield(1)
7.41 %
Risk-free interest rate4.08 
Expected volatility40.25 
Expected life (years)(2)
5.89
(1) The expected dividend yield assumption is based on the Company's expected dividend payments at the grant date.
(2)The expected term was estimated using the historical option‑exercise and settlement patterns, supplemented by a midpoint‑based assumption applied to awards meeting a one‑year post‑grant eligibility filter.
A summary of the equity award transactions for the nine months ended September 30, 2026 is as follows:
Stock Options
RSUs
PSUs
(shares in thousands)SharesWeighted average
exercise price		Weighted average
grant date
fair value		SharesWeighted average
grant date
fair value		SharesWeighted average
grant date
fair value
Outstanding as of January 1, 20267,519 $27.30 $6.99 9,716 $15.35 589 $23.61 
Granted/Issued
— — — 13,585 6.02 2,128 8.27 
Vested/Exercised— — — (3,543)17.77 (193)23.20 
Forfeited/Cancelled(2,299)30.78 8.11 (1,623)9.15 (140)23.20 
Outstanding as of September 30, 2026
5,220 $25.76 $6.50 18,135 $8.44 2,384 $9.98 

The following table summarizes information about equity awards outstanding that are vested and expected to vest and equity awards outstanding that are exercisable as of September 30, 2026:

Equity Awards Vested and Expected to VestEquity Awards That are Exercisable
(awards in thousands; aggregate intrinsic value in millions)
AwardsWeighted Average
Exercise Price		Aggregate
Intrinsic Value
Remaining
Term
(in years)
AwardsWeighted Average
Exercise Price		Aggregate
Intrinsic Value
Remaining
Term
(in years)
Stock Options5,146 $25.76 $— 5.983,949 $29.00 $— 5.24
RSUs
16,759 249 2.00
PSUs
2,436 38 2.04

The amount of unrecognized compensation costs as of September 30, 2026 was $136 million, which will be recognized in operating expense ratably over the weighted average vesting period of 1.97 years.