Employee Benefit Plans

A. Stock-based Compensation Plans

The Company's share-based compensation consists of stock options, time-based restricted stock, time-based restricted stock units, performance-based restricted stock, and performance-based restricted stock units. The Company also offers an employee stock purchase plan for eligible employees.

See the Company's Annual Report on Form 10-K for fiscal 2016, for a detailed description of the Company's stock-based compensation awards and employee stock purchase plan, including information related to vesting terms, service and performance conditions, and payout percentages. Also, see the Company's Annual Report on Form 10-K for the year ended June 30, 2016 for a discussion of the Company's process for estimating the fair value of stock options granted.

The Company currently utilizes treasury stock to satisfy stock option exercises, issuances under the Company's employee stock purchase plan, and restricted stock awards. From time to time, the Company may repurchase shares of its common stock under its authorized share repurchase programs. The Company repurchased 4.6 million and 5.2 million shares in the three months ended December 31, 2016 and 2015, respectively and repurchased 8.6 million and 9.4 million shares in the six months ended December 31, 2016 and 2015, respectively. The Company considers several factors in determining when to execute share repurchases, including, among other things, actual and potential acquisition activity, cash balances and cash flows, issuances due to employee benefit plan activity, and market conditions.

The following table represents stock-based compensation expense and related income tax benefits for the three months ended December 31, 2016 and 2015, respectively:



	Three Months Ended				Six Months Ended
	December 31,				December 31,
	2016		2015		2016		2015
Operating expenses	$	6.3	$	5.9	$	11.8	$	11.7
Selling, general and administrative expenses	24.3		25.7		45.9		50.0
System development and programming costs	5.2		4.5		9.2		9.0
Total pre-tax stock-based compensation expense	$	35.8	$	36.1	$	66.9	$	70.7

Income tax benefit	$	12.7	$	13.2	$	23.8	$	25.8

As of December 31, 2016, the total remaining unrecognized compensation cost related to unvested stock options, restricted stock units, and restricted stock awards amounted to $20.3 million, $47.5 million, and $100.1 million, respectively, which will be amortized over the weighted-average remaining requisite service periods of 2.7 years, 1.5 years, and 1.4 years, respectively.

During the six months ended December 31, 2016, the following activity occurred under the Company’s existing plans:

Stock Options:



	Number of Options (in thousands)		Weighted Average Price (in dollars)
Options outstanding at July 1, 2016	4,869		$	65
Options granted	1,231		$	91
Options exercised	(802	)	$	54
Options canceled/forfeited	(156	)	$	79
Options outstanding at December 31, 2016	5,142		$	73

Time-Based Restricted Stock and Time-Based Restricted Stock Units:



	Number of Shares (in thousands)		Number of Units (in thousands)
Restricted shares/units outstanding at July 1, 2016	1,889		434
Restricted shares/units granted	868		200
Restricted shares/units vested	(849	)	(201	)
Restricted shares/units forfeited	(78	)	(23	)
Restricted shares/units outstanding at December 31, 2016	1,830		410

Performance-Based Restricted Stock and Performance-Based Restricted Stock Units:



	Number of Shares (in thousands)		Number of Units (in thousands)
Restricted shares/units outstanding at July 1, 2016	574		811
Restricted shares/units granted	172		309
Restricted shares/units vested	(311	)	(272	)
Restricted shares/units forfeited	(15	)	(75	)
Restricted shares/units outstanding at December 31, 2016	420		773

The fair value for stock options granted was estimated at the date of grant using the following assumptions:



	Six Months Ended
	December 31,
	2016			2015
Risk-free interest rate	1.2		%	1.6		%
Dividend yield	2.3		%	2.6		%
Weighted average volatility factor	23.2		%	25.6		%
Weighted average expected life (in years)	5.4			5.4
Weighted average fair value (in dollars)	$	14.36		$	13.16