Company: THC
Filing Date: 2025-02-18
Form Type: 10-K
Source: 0000070318-25-000009
Chunk: 141

Company: TENET HEALTHCARE CORP
Filing Date: 2025-02-18
Form: 10-K
Item: Item 8
Chunk 141
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 the third anniversary of the grant date2023 to 2025— %225 %7,720RSUs will vest on the third anniversary of the grant date2023 to 2025— %150 %Granted during the year ended December 31, 2022:273,599RSUs will vest on the third anniversary of the grant date2022 to 2024— %200 %13,709RSUs will vest on the third anniversary of the grant date2022 to 2024— %150 %During the years ended December 31, 2024 and 2023, we issued 205,075 and 185,901 RSUs, respectively, as a result of our level of achievement with respect to previously awarded performance‑based RSUs. A similar issuance was not made during the year ended December 31, 2022.Included in the 2022 grants were 53,716 time-based RSUs and 53,716 performance-based RSUs granted to our former Executive Chairman. These RSUs vested and settled in October 2022, ahead of their scheduled vesting dates, in accordance with the disability provisions of our stock incentive plan. The performance-based awards vested at 100%.Compensation costs related to our stock-based compensation arrangements for the years ended December 31, 2024, 2023 and 2022 included $61 million, $46 million and $45 million of pre-tax compensation costs related to our RSUs, respectively.For certain of the performance-based RSU grants, the number of units that will ultimately vest is subject to adjustment based on the achievement of a market-based condition. The fair value of these RSUs is estimated through the use of a Monte Carlo simulation. Significant inputs used in our valuation of these RSUs included the following:Years Ended December 31,202420232022Expected volatility34.9% - 52.1%53.6% - 65.6%39.6% - 68.1%Risk-free interest rate4.4% - 4.9% 4.2% - 4.8%1.0% - 1.7%USPI Management Equity PlanUSPI maintains a separate restricted stock plan (the “USPI Management Equity Plan”) under which it grants RSUs representing a contractual right to receive one share of USPI’s non‑voting common stock in the future. The vesting of RSUs granted under the plan varies