SHARE-BASED COMPENSATION (Tables)

9 Months Ended

Sep. 28, 2013

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Schedule of Authorized Number of Shares

The 2012 Stock Plan authorizes 2,400,000 shares for issuance as follows:

2012 Stock Plan	Authorized Shares
Stock Options	1,680,000
Stock/Stock Unit Awards	720,000

The Company also maintains the Amended and Restated Franklin Electric Co., Inc. Stock Plan which, as amended in 2009, provided for discretionary grants of stock options and stock awards (the “2009 Stock Plan”). The 2009 Stock Plan authorized 4,400,000 shares for issuance as follows:

2009 Stock Plan	Authorized Shares
Stock Options	3,200,000
Stock Awards	1,200,000

Schedule of Assumptions Used to Determine the Fair Value of Options Granted

The assumptions used for the Black-Scholes model to determine the fair value of options granted during the nine months ended September 28, 2013 and September 29, 2012, are as follows:

	September 28, 2013		September 29, 2012
Risk-free interest rate	1.03	%	1.01	%
Dividend yield	0.89	%	1.12	%
Volatility factor	0.394		0.388
Expected term	6.0 years		6.0 years
Forfeiture rate	4.52	%	3.99	%

Schedule of Stock Option Plans Activity

A summary of the Company’s outstanding stock option activity and related information for the nine months ended September 28, 2013 and September 29, 2012, is as follows:

(Shares in thousands)	September 28, 2013				September 29, 2012
Stock Options	Shares		Weighted-Average Exercise Price		Shares		Weighted-Average Exercise Price
Outstanding at beginning of period	2,184		$	16.69	3,138		$	14.83
Granted	176		32.53		250		24.10
Exercised	(807	)	16.06		(860	)	13.38
Forfeited	(4	)	14.37		(46	)	22.91
Outstanding at end of period	1,549		$	18.83	2,482		$	16.25
Expected to vest after applying forfeiture rate	1,527		$	18.68	2,458		$	16.21
Vested and exercisable at end of period	1,017		$	15.43	1,682		$	15.87

Schedule of Stock Options, Contractual Term and Aggregate Intrinsic Value

A summary of the weighted average remaining contractual term and aggregate intrinsic value for the nine months ended September 28, 2013, is as follows:

Stock Options	Weighted-Average Remaining Contractual Term	Aggregate Intrinsic Value (000's)
Outstanding end of period	5.91 years	$	31,134
Expected to vest after applying forfeiture rate	5.87 years	$	30,883
Vested and exercisable end of period	4.61 years	$	23,880

Schedule of Restricted Stock/Stock Unit Award Activity

A summary of the Company’s restricted stock/stock unit award activity and related information for the nine months ended September 28, 2013 and September 29, 2012 is as follows:

(Shares in thousands)	September 28, 2013				September 29, 2012
Stock/Stock Unit Awards	Shares		Weighted-Average Grant- Date Fair Value		Shares		Weighted-Average Grant-Date Fair Value
Non-vested at beginning of period	458		$	20.90	344		$	17.24
Awarded	165		32.90		208		24.90
Vested	(62	)	18.86		(74	)	15.90
Forfeited	(6	)	20.05		(18	)	18.48
Non-vested at end of period	555		$	24.70	460		$	20.89