Annual report pursuant to Section 13 and 15(d)

STOCK INCENTIVE AND STOCK OPTION PLANS (Tables)

v3.10.0.1
STOCK INCENTIVE AND STOCK OPTION PLANS (Tables)
12 Months Ended
Dec. 31, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Activity in stock option plans The tables below summarize the employee share-based activity in the Plan:
 
 
Options
 
Weighted-average
Exercise Price
 
Weighted-average
Remaining
Contractual Life
(in years)
 
Aggregate
Intrinsic Value
(in millions)
Balance at December 31, 2015
 
2,029,686

 
$
115.02

 
 
 
 

Granted
 
984,430

 
109.24

 
 
 
 

Exercised
 
(215,890
)
 
87.27

 
 
 
 

Forfeited
 
(63,462
)
 
119.56

 
 
 
 

Balance at December 31, 2016
 
2,734,764

 
115.02

 
 
 
 

Granted
 
648,900

 
149.98

 
 
 
 

Exercised
 
(355,479
)
 
105.91

 
 
 
 

Forfeited
 
(126,816
)
 
125.65

 
 
 
 

Balance at December 31, 2017
 
2,901,369

 
123.49

 
 
 
 

Granted
 
515,320

 
159.06

 
 
 
 

Exercised
 
(140,133
)
 
88.74

 
 
 
 

Forfeited
 
(32,894
)
 
133.00

 
 
 
 

Balance at December 31, 2018
 
3,243,662

 
$
130.55

 
6.7
 
$
37

 
 
 
 
 
 
 
 
 
Exercisable, December 31, 2016
 
1,149,549

 
$
104.19

 
4.8
 
$
38

Exercisable, December 31, 2017
 
1,063,889

 
$
115.26

 
4.7
 
$
66

Exercisable, December 31, 2018
 
1,366,722

 
$
124.97

 
4.7
 
$
18

Weighted-average grant date fair value of performance and restricted shares The weighted-average grant date fair value of performance and restricted shares was as follows:
 
 
Performance Shares
 
Restricted Shares
Nonvested
 
Shares
 
Weighted-average
Fair Value
 
Shares
 
Weighted-average
Fair Value
Balance at December 31, 2015
 
420,369

 
$
123.88

 
4,254

 
$
111.40

Granted
 
169,150

 
98.26

 
8,089

 
117.69

Vested
 
(115,680
)
 
106.55

 
(2,502
)
 
114.57

Forfeited
 
(69,345
)
 
110.52

 

 

Balance at December 31, 2016
 
404,494

 
120.41

 
9,841

 
115.76

Granted
 
150,225

 
138.23

 

 

Vested
 
(85,020
)
 
141.50

 
(1,752
)
 
106.89

Forfeited
 
(58,460
)
 
132.52

 

 

Balance at December 31, 2017
 
411,239

 
120.84

 
8,089

 
117.68

Granted
 
124,700

 
146.50

 

 

Vested
 
(80,996
)
 
128.47

 
(2,696
)
 
117.68

Forfeited
 
(44,593
)
 
127.90

 

 

Balance at December 31, 2018
 
410,350

 
$
126.36

 
5,393

 
$
117.68

Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions The fair value of each option grant was estimated on the grant date using the Black-Scholes option pricing model with the following assumptions:
 
 
2018
 
2017
 
2016
Expected life (years)
 
6

 
6

 
5

Risk-free interest rate
 
2.72
%
 
2.08
%
 
1.34
%
Expected volatility
 
25.40
%
 
29.97
%
 
30.96
%
Dividend yield
 
2.48
%
 
2.28
%
 
2.10
%