Share-Based Compensation (Tables)

3 Months Ended

Apr. 02, 2016

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

Weighted-Average Assumptions Used for Grants of Stock Options and SARs

The following table shows the weighted-average assumptions used for grants of SARs as well as the fair value based on those assumptions:

	Three Months Ended
	April 2, 2016	April 4, 2015
Expected dividend yield	0%	0%
Forfeiture rate	10.24%	10.32%
Volatility	33.98%	34.92%
Risk free interest rate	1.53%	1.73%
Range of interest rates	0.02% - 2.14%	0.02% - 2.61%
Expected weighted-average life	5.32 years	5.36 years
Fair value of SARs granted (in millions)	$—	$—
Weighted-average grant date fair value of SARs granted (per underlying share)	$—	$—

Summary of SARs Activity

SAR activity was as follows:

	April 2, 2016
SARs	Shares			Weighted- Average Exercise Price
Outstanding at beginning of period	1,397,611			$	56.78
Granted	—			—
Exercised	(10,800		)	37.03
Forfeited	(19,497		)	75.20
Expired	—			—
Outstanding at end of period	1,367,314			56.66
Exercisable at end of period	728,463			36.01
Intrinsic value of exercised SARs (in millions)	$	—

Schedule of Outstanding and Exercisable Options

The following table summarizes information about SARs outstanding at April 2, 2016:

	April 2, 2016
	Outstanding	Exercisable
Aggregate intrinsic value (in millions)	$24	$20
Weighted-average remaining contractual term	6.5 years	5.1 years

Summary of Stock Option Activity

Stock option activity was as follows:

	April 2, 2016
Options	Shares			Weighted- Average Exercise Price
Outstanding at beginning of period	204,434			$	36.66
Granted	—			—
Exercised	(7,590		)	42.68
Forfeited	—			—
Expired	(2,490		)	43.35
Outstanding at end of period	194,354			36.34
Exercisable at end of period	194,354			36.34
Intrinsic value of exercised options (in millions)	$	—

Summary of Restricted Stock Award Activity

Restricted stock award activity was as follows:

	April 2, 2016
Restricted Stock Awards	Shares		Weighted-Average Grant Date Fair Value
Outstanding at beginning of period	566,447		$	77.68
Granted	—		—
Released	(12,592	)	58.37
Forfeited	(7,586	)	85.80
Outstanding at end of period	546,269		77.93

Summary of Performance Share Award Activity

Performance share award activity was as follows:

	April 2, 2016
Performance Share Awards	Shares		Weighted-Average Grant Date Fair Value
Outstanding at beginning of period	332,630		$	73.40
Grant adjustment	(2,531	)	73.07
Released	—		—
Forfeited	(2,719	)	73.07
Outstanding at end of period	327,380		73.22

Weighted-Average Assumptions Used for Employee Purchase Rights Granted Under Stock Purchase Plan

The fair value of the purchase rights issued to employees under the stock purchase plan is estimated using the following weighted-average assumptions for purchase rights granted. An expected life of 3 months was used to calculate the fair value.

	Three Months Ended
	April 2, 2016			April 4, 2015
Fair market value	$	69.65		$	77.41
Option price	$	66.17		$	73.54
Expected dividend yield	—		%	—		%
Expected volatility	59		%	23		%
Risk free interest rate	0.21		%	0.04		%