Granted for Performance Multiple (in shares)

EOG RESOURCES, INC.NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS – (Continued) (Unaudited)  
The following table sets forth the Performance Unit transactions for the nine-month periods ended September 30, 2022 and 2021 (units in thousands):

|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  | Nine Months EndedSeptember 30, 2022 |  | Nine Months EndedSeptember 30, 2021 |
|  | Number ofUnits |  | WeightedAverageGrant Date Fair Value |  | Number ofUnits |  | WeightedAverageGrant Date Fair Value |
| Outstanding at January 1 | 679  |  |  | $ | 84.97  |  |  | 613  |  |  | $ | 88.38  |  |
| Granted | 122  |  |  | 126.55  |  |  | 222  |  |  | 90.94  |  |
| Granted for Performance Multiple (1) | —  |  |  | —  |  |  | 19  |  |  | 113.81  |  |
| Released (2) | (57) |  |  | 136.74  |  |  | (175) |  |  | 113.06  |  |
| Forfeited for Performance Multiple (3) | (56) |  |  | 136.74  |  |  | —  |  |  | —  |  |
| Outstanding at September 30 (4) | 688  |  | (5) | $ | 83.82  |  |  | 679  |  |  | $ | 83.59  |  |



|  |  |  |
| --- | --- | --- |
|  |  |  |
|  |

(1)Upon completion of the Performance Period for the Performance Units granted in 2017, a performance multiple of 125% was applied to the grants resulting in an additional grant of Performance Units in February 2021.(2)The total intrinsic value of Performance Units released was $7 million and $13 million for the nine months ended September 30, 2022 and 2021, respectively. The intrinsic value is based upon the closing price of EOG's common stock on the date the Performance Units are released. (3)Upon completion of the Performance Period for the Performance Units granted in 2018, a performance multiple of 50% was applied to the grants resulting in a forfeiture of Performance Units in February 2022.(4)The total intrinsic value of Performance Units outstanding at September 30, 2022 and 2021 was approximately $77 million and $55 million, respectively.(5)Upon the application of the relevant performance multiple at the completion of each of the remaining Performance Periods, a minimum of zero and a maximum of 1,376 Performance Units could be outstanding.   
At September 30, 2022, unrecognized compensation expense related to Performance Units totaled $20 million. Such unrecognized expense will be amortized on a straight-line basis over a weighted average period of 1.8 years.  
3.    Net Income Per Share  
The following table sets forth the computation of Net Income Per Share for the three-month and nine-month periods ended September 30, 2022 and 2021 (in millions, except per share data):

|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  | Three Months EndedSeptember 30, |  | Nine Months EndedSeptember 30, |
|   | 2022 |  | 2021 |  | 2022 |  | 2021 |
| Numerator for Basic and Diluted Earnings Per Share - |  |  |  |  |  |  |  |
| Net Income | $ | 2,854  |  |  | $ | 1,095  |  |  | $ | 5,482  |  |  | $ | 2,679  |  |
| Denominator for Basic Earnings Per Share - |   |  |   |  |   |  |   |
| Weighted Average Shares | 583  |  |  | 581  |  |  | 583  |  |  | 580  |  |
| Potential Dilutive Common Shares - |   |  |   |  |   |  |   |
| Stock Options/SARs/ESPP | 1  |  |  | 1  |  |  | 2  |  |  | 1  |  |
| Restricted Stock/Units and Performance Units | 3  |  |  | 2  |  |  | 2  |  |  | 3  |  |
| Denominator for Diluted Earnings Per Share - |   |  |   |  |   |  |   |
| Adjusted Diluted Weighted Average Shares | 587  |  |  | 584  |  |  | 587  |  |  | 584  |  |
| Net Income Per Share |   |  |   |  |   |  |   |
| Basic | $ | 4.90  |  |  | $ | 1.88  |  |  | $ | 9.40  |  |  | $ | 4.62  |  |
| Diluted | $ | 4.86  |  |  | $ | 1.88  |  |  | $ | 9.34  |  |  | $ | 4.59  |  |

  
  
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