General Motors 2012 Annual Report Download - page 167

GENERAL MOTORS COMPANY AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)
The following table summarizes compensation expense recorded for our stock incentive plans (dollars in millions):
Years Ended December 31,
2012 2011 2010
Compensation expense ................................................................. $302 $233 $235
Income tax benefit .................................................................... $100 $ — $ —
At December 31, 2012 the total unrecognized compensation expense for nonvested equity awards granted was $185 million. This
expense is expected to be recorded over a weighted-average period of one year.
The total fair value of RSUs vested in the years ended December 31, 2012, 2011 and 2010 was $141 million, $105 million and $78
million.
In the years ended December 31, 2012, 2011 and 2010 total payments for 1.6 million, 456,000 and 292,000 RSUs settled under
stock incentive plans were $36 million, $14 million and $5 million.
Note 27. Ally Financial
Automotive
The following tables summarize the financial statement effects of and maximum obligations under agreements with Ally Financial
(dollars in millions):
December 31, 2012 December 31, 2011
Vehicle repurchase obligations
Maximum obligations (a) ....................................................... $22,112 $18,972
Fair value of guarantee ......................................................... $ 15 $ 17
(a) We corrected the amount originally reported as $19.8 billion in our Annual Report on Form 10-K as of December 31, 2011.
Years Ended December 31,
2012 2011 2010
U.S. marketing incentives and operating lease residual payments ................................. $1,732 $1,428 $1,111
Exclusivity fee income ................................................................... $ 63 $ 76 $ 99
Marketing Incentives and Operating Lease Residuals
Under an interest rate support program, we pay an amount at the time of lease or retail contract origination to adjust the interest rate
in the retail contract or implicit in the lease below Ally Financial’s standard interest rate. The amount paid at contract origination
represents the present value of the difference between the customer’s contractual rate and Ally Financial’s standard rate for a given
program.
Under a residual support program, a customer’s contract residual value is adjusted above Ally Financial’s standard residual value.
We reimburse Ally Financial to the extent sales proceeds are less than the customer’s contract residual value, limited to Ally
Financial’s standard residual value. The residual support amount owed is calculated at contract termination and, in cases where the
amount differs from the expected amount paid at contract origination, the difference is paid to or paid by Ally Financial.
Under a risk-sharing arrangement, residual losses are shared equally with Ally Financial to the extent remarketing proceeds are
below Ally Financial’s standard residual value (limited to a floor).
General Motors Company 2012 ANNUAL REPORT164