STOCK-BASED COMPENSATION (Tables)

6 Months Ended

Mar. 31, 2019

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				Six Months Ended
	March 31,				March 31,
	2019		2018		2019		2018
	(in thousands)				(in thousands)
Compensation expense
Stock options	$	938	$	2,109	$	2,354	$	4,072
Restricted stock		6,861		6,350		12,603		11,474
Performance share units		1,632		—		1,632		—
	$	9,431	$	8,459	$	16,589	$	15,546

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 six months ended March 31, 2018:

	2018
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 and six months ended March 31, 2019 is presented in the following tables:

	Three Months Ended March 31, 2019
				Weighted
				Average
		Weighted		Remaining	Aggregate
		Average		Contractual	Intrinsic
	Shares	Exercise		Term	Value
	(in thousands)	Price		(in years)	(in thousands)
Outstanding at January 1, 2019	3,299	$	60.74
Exercised	(7)		42.56
Outstanding at March 31, 2019	3,292	$	60.77	5.70	$	5,782
Vested and expected to vest at March 31, 2019	3,292	$	60.77	5.70	$	5,782
Exercisable at March 31, 2019	2,503	$	60.28	4.93	$	5,690

	Six Months Ended
	March 31, 2019
		Weighted
		Average
	Shares	Exercise
	(in thousands)	Price
Outstanding at October 1, 2018	3,499	$	58.62
Exercised	(198)		22.80
Forfeited	(9)		58.43
Outstanding on March 31, 2019	3,292	$	60.77

Restricted stock

Summary of restricted stock awards and changes in restricted stock outstanding

A summary of the status of our restricted stock awards as of March 31, 2019 and changes in restricted stock outstanding during the six months then ended is presented below:

	Six Months Ended
	March 31, 2019
		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)		64.48
Forfeited	(8)		59.41
Outstanding on March 31, 2019	1,105	$	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.

Performance share units

Summary of restricted stock awards and changes in restricted stock outstanding

A summary of the status of our performance share units as of March 31, 2019 and changes in performance share units outstanding during the six months then ended is presented below:

	Six Months Ended
	March 31, 2019
		Weighted Average
	Shares	Grant Date Fair
	(in thousands)	Value per Share
Outstanding at October 1, 2018	—	$	—
Granted	145		62.66
Outstanding on March 31, 2019	145	$	62.66