Share-Based Compensation (Tables)

6 Months Ended

Jun. 30, 2016

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

Schedule of Stock-based Compensation Expense

A summary of stock-based compensation expense for the six months ended June 30, 2016 and 2015 is as follows:

	For the Six Months Ended June 30,
	2016		2015
Stock options	$	1,605,000	$	1,406,000
Restricted stock	273,000		122,000
Employee Stock Purchase Plan	213,000		205,000
Total pre-tax stock-based compensation expense charged against income (1)	$	2,091,000	$	1,733,000

⁽¹⁾  Stock-based compensation expense is recorded in selling, general and administrative expense in our consolidated statements of comprehensive income.

Summary of Other Information of Stock Option Plans

A summary of our stock options outstanding under the Plan as of December 31, 2015 and changes during the six months ended June 30, 2016 is as follows:

	Stock Options Outstanding
	Number of Shares		Weighted Average Exercise Price
December 31, 2015	2,461,000		$	22.16
Granted	569,000		$	34.14
Cancelled	(66,000	)	$	29.31
Exercised	(238,000	)	$	20.25
June 30, 2016	2,726,000		$	24.65

Other information pertaining to activity of our stock awards is as follows:

	For the Six Months Ended June 30,
	2016		2015
Total grant-date fair value of stock options and awards granted	$	5,202,000	$	4,027,000
Total fair value of stock options and awards vested during period	$	3,092,000	$	2,719,000

Summarized Information of Stock Options Outstanding

The following table summarizes other information about our stock options at June 30, 2016:

	Stock Options
Range of exercise prices	$10.39 - $34.14
Outstanding:
Weighted average remaining contractual life (years)	6.7
Aggregate intrinsic value	$	45,605,000
Exercisable:
Number of shares	1,230,000
Weighted average remaining contractual life (years)	4.9
Aggregate intrinsic value	$	28,105,000
Exercised:
Aggregate intrinsic value	$	3,874,000

Assumption For Fair Value of Options Granted

The fair value of stock option awards granted in 2016 and 2015 was estimated on the date of grant using the Black-Scholes option valuation model using the following assumptions:

	For the Six Months Ended June 30,
	2016	2015
Risk-free interest rate	2.0%	1.9%
Weighted average expected life (years)	5.8	5.8
Expected volatility	26.0%	27.2%
Dividend yield	2.0%	2.2%

Schedule of Restricted Stock Outstanding Stock-based Compensation

A summary of our outstanding stock-based compensation as of December 31, 2015 and changes during the six months ended June 30, 2016 is as follows:

	Shares		Weighted Average Grant Date Fair Value
December 31, 2015	40,000		$	29.10
Granted	44,000		$	34.14
Vested	(9,000	)	$	28.76
June 30, 2016	75,000		$	32.10

Schedule of Share-based Payment Award, Employee Stock Purchase Plan, Valuation Assumptions

The stock-based compensation expense associated the options granted under our ESPP was estimated on the date of grant using the Black-Scholes option valuation model using the following assumptions:

	Six months ended June 30,
	2016	2015
Risk-free interest rate	0.58%	0.18%
Weighted average expected life (years)	1.0	1.0
Expected volatility	19.7%	19.2%
Dividend yield	2.0%	2.2%