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Equity and Share-Based Compensation (Tables)
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9 Months Ended |
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Sep. 29, 2013
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| Disclosure of Compensation Related Costs, Share-based Payments [Abstract] |
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| Dividends Declared |
Through September 29, 2013, the Company’s Board of Directors declared the following dividends: | | | | | | | | | | | | | | Declaration Date | | Dividend per Share | | Record Date | | Total Amount | | Payment Date | | | | | | | (In millions) | | | July 31, 2013 | | $ | 0.225 |
| | August 12, 2013 | | $ | 51.6 |
| | August 30, 2013 |
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| Fair value of stock options granted to employees, officers and non-employee board members and ESPP shares granted to employees |
The fair value of the Company’s stock options granted to employees, officers and non-employee board members, excluding unvested stock options assumed through acquisitions, was estimated using the following weighted average assumptions: | | | | | | | | | | Three months ended | | Nine months ended | | September 29,
2013 | | September 30,
2012 | | September 29,
2013 | | September 30,
2012 | Dividend yield | 0% - 1.63% | | None | | 0% - 1.63% | | None | Expected volatility | 0.35 | | 0.45 | | 0.37 | | 0.43 | Risk-free interest rate | 1.21% | | 0.51% | | 0.73% | | 0.60% | Expected term | 4.3 years | | 4.3 years | | 4.4 years | | 4.3 years | Estimated annual forfeiture rate | 8.51% | | 8.59% | | 8.51% | | 8.59% | Weighted average fair value at grant date | $14.66 | | $15.39 | | $16.26 | | $16.63 |
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| Schedule of Share-based Payment Award, Employee Stock Purchase Plan, Valuation Assumptions |
The fair value of the Company’s ESPP shares issued to employees was estimated using the following weighted average assumptions: | | | | | | | | | | Three months ended | | Nine months ended | | September 29,
2013 | | September 30,
2012 | | September 29,
2013 | | September 30,
2012 | Dividend yield | 0% - 1.63% | | None | | 0% - 1.63% | | None | Expected volatility | 0.35 | | 0.44 | | 0.34 | | 0.41 | Risk-free interest rate | 0.08% | | 0.14% | | 0.11% | | 0.15% | Expected term | ½ year | | ½ year | | ½ year | | ½ year | Weighted average fair value at purchase date | $13.72 | | $11.38 | | $13.08 | | $11.87 |
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| Stock options and stock appreciation rights |
A summary of stock option and stock appreciation rights (“SARs”) activity under all of the Company’s share-based compensation plans as of September 29, 2013 and changes during the nine months ended September 29, 2013 is presented below (in thousands, except for weighted average exercise price and remaining contractual term): | | | | | | | | | | | | | | | Shares | | Weighted Average Exercise Price | | Weighted Average Remaining Contractual Term (Years) | | Aggregate Intrinsic Value | Options and SARs outstanding at December 30, 2012 | 15,426 |
| | $ | 40.73 |
| | 3.2 | | $ | 109,411 |
| Granted | 1,126 |
| | 52.56 |
| | | | | Exercised | (5,782 | ) | | 34.56 |
| | | | 117,358 |
| Forfeited | (369 | ) | | 43.39 |
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| Expired | (2,362 | ) | | 60.70 |
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| Options assumed through acquisition | 183 |
| | 19.37 |
| | | | | Options and SARs outstanding at September 29, 2013 | 8,222 |
| | 40.36 |
| | 4.2 | | 161,027 |
| Options and SARs vested and expected to vest after September 29, 2013, net of forfeitures | 7,843 |
| | 40.02 |
| | 4.1 | | 156,295 |
| Options and SARs exercisable at September 29, 2013 | 4,325 |
| | 35.15 |
| | 3.1 | | 107,227 |
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| Summary of the changes in RSUs outstanding |
A summary of the changes in RSUs outstanding under the Company’s share-based compensation plans during the nine months ended September 29, 2013 is presented below (in thousands, except for weighted average grant date fair value): | | | | | | | | | | | | | Shares | | Weighted Average Grant Date Fair Value | | Aggregate Intrinsic Value | Non-vested share units at December 30, 2012 | 3,077 |
| | $ | 43.51 |
| | $ | 131,622 |
| Granted | 2,448 |
| | 52.68 |
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| Vested | (909 | ) | | 41.94 |
| | 47,403 |
| Forfeited | (243 | ) | | 46.28 |
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| Non-vested share units at September 29, 2013 | 4,373 |
| | 48.83 |
| | 213,544 |
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| Share-based compensation expense |
The following tables set forth the detailed allocation of the share-based compensation expense (in thousands): | | | | | | | | | | | | | | | | | | Three months ended | | Nine months ended | | September 29,
2013 | | September 30,
2012 | | September 29,
2013 | | September 30,
2012 | Share-based compensation expense by caption: | | | | | | | | Cost of revenues | $ | 2,716 |
| | $ | 1,929 |
| | $ | 6,880 |
| | $ | 5,389 |
| Research and development | 13,142 |
| | 10,379 |
| | 37,486 |
| | 31,029 |
| Sales and marketing | 5,241 |
| | 3,794 |
| | 13,813 |
| | 11,057 |
| General and administrative | 4,831 |
| | 3,848 |
| | 14,146 |
| | 11,808 |
| Total share-based compensation expense | 25,930 |
| | 19,950 |
| | 72,325 |
| | 59,283 |
| Total tax benefit recognized | (7,227 | ) | | (5,464 | ) | | (20,365 | ) | | (15,309 | ) | Decrease in net income | $ | 18,703 |
| | $ | 14,486 |
| | $ | 51,960 |
| | $ | 43,974 |
| | | | | | | | | Share-based compensation expense by type of award: | | | | | | | | Stock options and SARs | $ | 8,035 |
| | $ | 8,550 |
| | $ | 24,358 |
| | $ | 27,192 |
| RSUs | 15,900 |
| | 9,405 |
| | 42,658 |
| | 25,907 |
| ESPP | 1,995 |
| | 1,995 |
| | 5,309 |
| | 6,184 |
| Total share-based compensation expense | 25,930 |
| | 19,950 |
| | 72,325 |
| | 59,283 |
| Total tax benefit recognized | (7,227 | ) | | (5,464 | ) | | (20,365 | ) | | (15,309 | ) | Decrease in net income | $ | 18,703 |
| | $ | 14,486 |
| | $ | 51,960 |
| | $ | 43,974 |
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| Fair value of options and RSUs |
The total grant date fair value of options and RSUs vested during the three and nine months ended September 29, 2013 and September 30, 2012 was as follows (in thousands): | | | | | | | | | | | | | | | | | | Three months ended | | Nine months ended | | September 29,
2013 | | September 30,
2012 | | September 29,
2013 | | September 30,
2012 | Fair value of options vested | $ | 7,018 |
| | $ | 7,751 |
| | $ | 28,868 |
| | $ | 30,725 |
| Fair value of RSUs vested | 2,206 |
| | 520 |
| | 38,109 |
| | 24,104 |
| Total fair value of options and RSUs vested | $ | 9,224 |
| | $ | 8,271 |
| | $ | 66,977 |
| | $ | 54,829 |
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