Stock-Based Compensation Plans

3 Months Ended

Jun. 27, 2015

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

The Company’s equity incentive plans are broad-based, long-term retention programs that cover employees, consultants and non-employee directors of the Company. These plans are intended to attract and retain talented employees, consultants and non-employee directors and to provide such persons with a proprietary interest in the Company.

Stock-Based Compensation

The following table summarizes stock-based compensation expense related to stock awards granted under the Company’s equity incentive plans and rights to acquire stock granted under the Company’s Employee Stock Purchase Plan (ESPP):



	Three Months Ended
(In thousands)	June 27, 2015		June 28, 2014
Stock-based compensation included in:
Cost of revenues	$	1,964	$	1,992
Research and development	14,692		10,505
Selling, general and administrative	9,664		9,609
	$	26,320	$	22,106

During the first quarter of fiscal 2016 and 2015, the tax benefits realized for the tax deduction from option exercises and other awards credited to additional paid-in capital were $2.2 million and $2.0 million, respectively.

The fair values of stock purchase plan rights under the Company’s ESPP were estimated using the Black-Scholes option pricing model.

The estimated fair values of restricted stock unit (RSU) awards were calculated based on the market price of Xilinx common stock on the date of grant, reduced by the present value of dividends expected to be paid on Xilinx common stock prior to vesting. The per share weighted-average fair value of RSUs granted during the first quarter of fiscal 2016 was $42.45 ($40.69 for the first quarter of fiscal 2015), which were calculated based on estimates at the date of grant using the following weighted-average assumptions:



	Three Months Ended
	June 27, 2015		June 28, 2014
Risk-free interest rate	1.3	%	0.9	%
Dividend yield	2.7	%	2.5	%

Employee Stock Option Plans

A summary of the Company’s option plans activity and related information is as follows:



	Options Outstanding
(Shares in thousands)	Number of Shares		Weighted-Average Exercise Price Per Share
March 29, 2014	5,280		$	25.22
Exercised	(2,009	)	$	25.80
Forfeited/cancelled/expired	(24	)	$	32.22
March 28, 2015	3,247		$	24.81
Exercised	(787	)	$	25.16
Forfeited/cancelled/expired	(9	)	$	34.08
June 27, 2015	2,451		$	24.66
Options exercisable at:
June 27, 2015	2,402		$	24.46
March 28, 2015	3,173		$	24.59

The types of awards allowed under the 2007 Equity Incentive Plan (2007 Equity Plan) include incentive stock options, non-qualified stock options, RSUs, restricted stock and stock appreciation rights. To date, the Company has issued a mix of non-qualified stock options and RSUs under the 2007 Equity Plan, but there was no issuance of stock options during the first quarter of fiscal 2016 and the entire fiscal 2015. As of June 27, 2015, 15.5 million shares remained available for grant under the 2007 Equity Plan.

The total pre-tax intrinsic value of options exercised during the three months ended June 27, 2015 and June 28, 2014 was $15.8 million and $11.1 million, respectively. This intrinsic value represents the difference between the exercise price and the fair market value of the Company’s common stock on the date of exercise.

RSU Awards

A summary of the Company’s RSU activity and related information is as follows:



	RSUs Outstanding
(Shares in thousands)	Number of Shares		Weighted-Average Grant-Date Fair Value Per Share
March 29, 2014	6,901		$	35.08
Granted	3,201		$	43.11
Vested	(2,698	)	$	33.82
Cancelled	(531	)	$	32.91
March 28, 2015	6,873		$	39.07
Granted	118		$	42.45
Vested	(92	)	$	37.84
Cancelled	(289	)	$	39.62
June 27, 2015	6,610		$	39.13

Employee Stock Purchase Plan

Under the Company’s ESPP, no shares were issued during the first quarter of fiscal 2016 or 2015. The next scheduled purchase under the ESPP is in the second quarter of fiscal 2016. As of June 27, 2015, 10.5 million shares were available for future issuance.