Annual report pursuant to Section 13 and 15(d)

SHARE-BASED COMPENSATION (Tables)

v3.20.4
SHARE-BASED COMPENSATION (Tables)
12 Months Ended
Dec. 31, 2020
Share-based Payment Arrangement [Abstract]  
Share based compensation expense and related tax benefit
The following table presents total share-based compensation expense and related tax benefit for the three years ended December 31, 2020, 2019, and 2018:
(dollar amounts in millions) 2020 2019 2018
Share-based compensation expense $ 77  $ 83  $ 78 
Tax benefit 13  15  14 
Weighted average assumptions used in the option pricing model
The following table presents the weighted average assumptions used in the option pricing model at the grant date for options granted in the three years ended December 31, 2020, 2019, and 2018:
Assumptions 2020 2019 2018
Risk-free interest rate 0.48  % 2.41  % 2.88  %
Expected dividend yield 6.98  4.36  3.71 
Expected volatility of Huntington’s common stock 39.7  22.5  24.0 
Expected option term (years) 6.5 6.5 6.5
Weighted-average grant date fair value per share $ 1.49  $ 1.91  $ 2.58 
Stock option activity and related information
Huntington’s stock option activity and related information for the year ended December 31, 2020, was as follows:
(dollar amounts in millions, except per share and options amounts in thousands) Options Weighted-
Average
Exercise Price
Weighted-Average
Remaining
Contractual Life (Years)
Aggregate
Intrinsic Value
Outstanding at January 1, 2020 11,309  $ 12.23 
Granted 4,378  8.60 
Exercised (1,372) 7.56 
Forfeited/expired (163) 13.25 
Outstanding at December 31, 2020 14,152  $ 11.55  7.4 $ 25 
Expected to vest (1) 7,994  $ 11.18  8.6 $ 17 
Exercisable at December 31, 2020 5,919  $ 12.09  5.6 $
(1)The number of options expected to vest reflect an estimate of 239,000 shares expected to be forfeited.
Schedule of restricted stock, restricted stock units, and performance shares
The following table summarizes the status of Huntington’s restricted stock units, and performance share units as of December 31, 2020, and activity for the year ended December 31, 2020:
Restricted Stock Units Performance Share Units
(amounts in thousands, except per share amounts) Quantity
Weighted-
Average
Grant Date
Fair Value
Per Share
Quantity
Weighted-
Average
Grant Date
Fair Value
Per Share
Nonvested at January 1, 2020 15,289  $ 13.42  2,769  $ 13.49 
Granted 7,360  8.98  2,154  8.57 
Vested (5,416) 12.39  (1,626) 12.19 
Forfeited (581) 12.49  (22) 12.93 
Nonvested at December 31, 2020 16,652  $ 12.05  3,275  $ 11.74