STOCKHOLDERS’ EQUITY

Stock Repurchase Activities

In August 2015, the Company’s Board of Directors approved a stock repurchase program (2015 Stock Repurchase Program), authorizing the Company to repurchase up to $400.0 million of Trimble’s common stock.

Under the share repurchase program, the Company may repurchase shares from time to time in open market transactions, privately negotiated transactions, accelerated share buyback programs, tender offers, or by other means. The timing and amount of repurchase transactions will be determined by the Company’s management based on its evaluation of market conditions, share price, legal requirements and other factors. The program may be suspended, modified or discontinued at any time without prior notice.

During the first three quarters of fiscal 2017, the Company repurchased approximately 3.1 million shares of common stock in open market purchases, at an average price of $36.07 per share, for a total of $111.5 million under the 2015 Stock Repurchase Program.

Stock repurchases are reflected as a decrease to common stock based on par value and additional-paid-in-capital based on the average book value per share for all outstanding shares calculated at the time of each individual repurchase transaction. The excess of the purchase price over this average for each repurchase is charged to retained earnings. As a result of the 2017 repurchases, retained earnings was reduced by $94.1 million in the first three quarters of fiscal 2017. Common stock repurchases under the program were recorded based upon the trade date for accounting purposes. At the end of the first three quarters of fiscal 2017, the 2015 Stock Repurchase Program had remaining authorized funds of $19.0 million.

Stock-Based Compensation Expense

Stock compensation expense is recognized based on the fair value of the portion of share-based payment awards that is expected to vest during the period and is net of estimated forfeitures.

The following table summarizes stock-based compensation expense for the third quarter and first three quarters of fiscal 2017 and 2016:



	Third Quarter of				First Three Quarters of
	2017		2016		2017		2016
(In millions)
Cost of sales	$	1.1	$	0.9	$	2.8	$	2.8
Research and development	2.7		2.2		7.7		6.9
Sales and marketing	2.4		2.1		7.0		6.3
General and administrative	9.9		8.1		27.5		24.0
Total operating expense	15.0		12.4		42.2		37.2
Total stock-based compensation expense	$	16.1	$	13.3	$	45.0	$	40.0