STOCK-BASED COMPENSATION (Tables)

3 Months Ended

Dec. 31, 2018

STOCK-BASED COMPENSATION

Summary of compensation cost for stock-based payment arrangements recognized in selling, general and administrative expense

A summary of compensation cost for stock-based payment arrangements recognized in selling, general and administrative expense is as follows:

	Three Months Ended
	December 31,
	2018		2017
	(in thousands)
Compensation expense
Stock options	$	1,416	$	1,963
Restricted stock		5,742		5,124
	$	7,158	$	7,087

Summary of weighted-average assumptions utilized in determining the fair value of options granted

The following summarizes the weighted-average assumptions utilized in determining the fair value of options granted during the three months ended December 31, 2017:

	2017
Risk-free interest rate (1)	2.2	%
Expected stock volatility (2)	36.1	%
Dividend yield (3)	4.8	%
Expected term (in years) (4)	6.0

(1) The risk-free interest rate is based on U.S. Treasury securities for the expected term of the option.

(2) Expected volatilities are based on the daily closing price of our stock based upon historical experience over a period which approximates the expected term of the option.

(3) The dividend yield is based on our current dividend yield.

(4) The expected term of the options granted represents the period of time that they are expected to be outstanding. We estimate term of option granted based on historical experience with grants and exercise.

Summary of stock option activity

A summary of stock option activity under all existing long-term incentive plans for the three months ended December 31, 2018 is presented in the following tables:

	Three Months Ended December 31, 2018
				Weighted
				Average
		Weighted		Remaining	Aggregate
		Average		Contractual	Intrinsic
	Shares	Exercise		Term	Value
	(in thousands)	Price		(in years)	(in thousands)
Outstanding at October 1, 2018	3,499	$	58.62
Granted	—		—
Exercised	(191)		22.07
Forfeited/Expired	(9)		58.43
Outstanding at December 31, 2018	3,299	$	60.74	5.92	$	2,269
Vested and expected to vest at December 31, 2018	3,299	$	60.74	5.92	$	2,269
Exercisable at December 31, 2018	2,497	$	60.23	5.15	$	2,269

Summary of restricted stock awards and changes in restricted stock outstanding

A summary of the status of our restricted stock awards as of December 31, 2018 and changes in restricted stock outstanding during the three months then ended is presented below:

	Three Months Ended
	December 31, 2018
		Weighted Average
	Shares	Grant Date Fair
	(in thousands)	Value per Share
Outstanding at October 1, 2018	1,001	$	63.74
Granted	473		58.48
Vested (1)	(361)		64.47
Forfeited	(7)		59.59
Outstanding on December 31, 2018	1,106	$	61.27

(1)The number of restricted stock awards vested includes shares that we withheld on behalf of our employees to satisfy the statutory tax withholding requirements.