STOCK OPTION AND RESTRICTED STOCK AWARDS

3 Months Ended

Jan. 27, 2019

STOCK OPTION AND RESTRICTED STOCK AWARDS

STOCK OPTION AND RESTRICTED STOCK AWARDS

(18)  Stock Option and Restricted Stock Awards

In December 2018, the Company granted stock options to employees for the purchase of 402 thousand shares of common stock at an exercise price of $148.14 per share and a binomial lattice model fair value of $46.96 per share at the grant date. At January 27, 2019, options for 8.6 million shares were outstanding with a weighted-average exercise price of $90.57 per share. The Company also granted 401 thousand restricted stock units to employees in the first three months of 2019, of which 316 thousand are subject to service based only conditions and 85 thousand are subject to performance/service based conditions. The fair value of the service based only units at the grant date was $148.14 per unit based on the market price of a share of underlying common stock. The fair value of the performance/service based units at the grant date was $139.37 per unit based on the market price of a share of underlying common stock excluding dividends. At January 27, 2019, the Company was authorized to grant an additional 8.3 million shares related to stock option and restricted stock awards.