Employee Benefit Plans (Tables)

12 Months Ended

Oct. 31, 2014

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

The following table contains information concerning activities related to restricted stock units:



	Restricted Stock Units		Weighted Average Grant Date Fair Value		Weighted Average Remaining Contractual Life (In Years)	Aggregate Fair Value
	(in thousands, except per share and life amounts)
Balance at October 31, 2011	3,454		$	24.28	1.48
Granted	1,813		$	29.52
Assumed(2)	353		$	30.33
Vested(1)	(1,508	)	$	24.14		$	36,402
Forfeited	(192	)	$	26.70
Balance at October 31, 2012	3,920		$	27.18	1.52
Granted	1,680		$	35.27
Vested(1)	(1,476	)	$	35.40		$	52,234
Forfeited	(141	)	$	28.36
Balance at October 31, 2013	3,983		$	27.51	1.51
Granted	1,645		$	39.03
Vested(1)	(1,564	)	$	38.87		$	60,815
Forfeited	(117	)	$	32.95
Balance at October 31, 2014	3,947		$	27.65	1.53


(1)	The number of vested restricted stock units includes shares that were withheld on behalf of employees to satisfy the statutory tax withholding requirements.


(2)	The Company assumed certain restricted stock units outstanding under various plans through acquisitions.

Stock Options and Restricted Stock Units Under all Equity Plans (Except 2005 Directors Plan)

The following table contains additional information concerning activities related to stock options and restricted stock units under all equity plans, other than shares available for grant under the 2005 Directors Plan:



	Available for Grant(3)		Options(2)
	Available for Grant(3)		Options Outstanding		Weighted- Average Exercise Price per Share		Weighted- Average Remaining Contractual Life (In Years)	Aggregate Intrinsic Value
	(in thousands, except per share and life amounts)
Balance at October 31, 2011	5,911		15,960		$	22.76	2.97	$	74,068
Options Granted	(1,719	)	1,719		$	28.86
Options Assumed(2)			382		$	19.15
Options Exercised			(7,103	)	$	21.09
Options Canceled/forfeited/expired	631		(739	)	$	25.07
Restricted stock units granted(1)	(2,638	)
Restricted stock units forfeited(1)	167
Additional shares reserved	5,000
Balance at October 31, 2012	7,352		10,219		$	24.64	3.71	$	80,950
Options Granted	(1,704	)	1,704		$	34.10
Options Assumed(2)			158		$	23.60
Options Exercised			(4,173	)	$	24.34
Options Canceled/forfeited/expired	159		(182	)	$	24.17
Restricted stock units granted(1)	(2,519	)
Restricted stock units forfeited(1)	184
Additional shares reserved	5,000
Balance at October 31, 2013	8,472		7,726		$	26.87	4.30	$	71,700
Options Granted	(1,686	)	1,686		$	38.65
Options Assumed(2)			843		$	24.63
Options Exercised			(2,103	)	$	24.47
Options Canceled/forfeited/expired	163		(402	)	$	27.44
Restricted stock units granted(1)	(2,468	)
Restricted stock units forfeited(1)	174
Additional shares reserved	7,500
Balance at October 31, 2014	12,155		7,750		$	29.81	4.66	$	86,537
Vested and expected to vest as of October 31, 2014			7,677		$	29.76	4.65	$	86,126
Exercisable at October 31, 2014			3,844		$	26.04	3.53	$	57,418


(1)	These amounts do not reflect the actual number of restricted stock units granted or forfeited but rather the effect on the total remaining shares available for future grants after the application of the share reserve ratio. For more information about the share reserve ratio, please see Restricted Stock Units above.


(2)	The Company assumed options outstanding under various plans through acquisitions.


(3)	Excluding shares reserved for future issuance under the 2005 Directors Plan.

Pretax Intrinsic Value of Options Exercised and Their Average Exercise Prices

The pretax intrinsic value of options exercised and their average exercise prices were:



	Year Ended October 31,
	2014		2013		2012
	(in thousands, except per share price)
Intrinsic value	$	32,094	$	46,592	$	63,048
Average exercise price per share	$	24.47	$	24.34	$	21.09

Summary of Restricted Stock Award Activities Under 2005 Directors Plan

Restricted stock award activities during fiscal 2014 under the 2005 Directors Plan are summarized as follows:



	Restricted Shares		Weighted-Average Grant Date Fair Value
	(in thousands)
Unvested at October 31, 2013	53		$	32.48
Granted	22		$	38.70
Vested	(27	)	$	31.18
Forfeited	—		—
Unvested at October 31, 2014	48		$	36.09

Stock Option Plans and Stock Purchase Rights Granted Under ESPP

The assumptions presented in the following table were used to estimate the fair value of stock options and employee stock purchase rights granted under the Company’s stock plans or stock plans assumed from acquisitions:



	Year Ended October 31,
	2014	2013	2012
Stock Options
Expected life (in years)	4.5	4.7	1.0 - 4.9
Risk-free interest rate	1.38% - 1.74%	0.62% - 1.66%	0.22% - 0.95%
Volatility	18.38%-20.00%	20.61% - 26.47%	22.65% - 29.76%
Weighted average estimated fair value	$10.95	$7.29	$8.46
ESPP
Expected life (in years)	0.5 - 2.0	0.5 - 2.0	0.5 - 2.0
Risk-free interest rate	0.05% - 0.58%	0.10% - 0.43%	0.16% - 0.34%
Volatility	16.84% - 18.78%	17.12% - 21.75%	21.95% - 23.20%
Weighted average estimated fair value	$9.17	$8.19	$8.02

Stock Compensation Expense

The following table presents stock compensation expense for fiscal 2014, 2013 and 2012, respectively:



	Year Ended October 31,
	2014			2013			2012
	(in thousands)
Cost of license	$	8,122		$	6,597		6,927
Cost of maintenance and service	2,336			1,628			1,727
Research and development expense	38,241			32,423			32,767
Sales and marketing expense	16,754			13,983			13,566
General and administrative expense	13,987			12,880			16,427
Stock compensation expense before taxes	79,440			67,511			71,414
Income tax benefit	(18,224		)	(16,446		)	(15,989		)
Stock compensation expense after taxes	$	61,216		$	51,065		$	55,425

Deferred Plan Assets and Liabilities

Deferred Plan Assets and Liabilities are as follows:



	As of October 31, 2014		As of October 31, 2013
	(In thousands)
Plan assets recorded in other long-term assets	$	145,508	$	126,621
Plan liabilities recorded in other long-term liabilities(1)	$	145,508	$	126,621


(1)	For undistributed deferred compensation balances due to participants.

Summary of Impact of Deferred Plan

The following table summarizes the impact of the Deferred Plan:



	Year Ended October 31,
	2014		2013		2012
	(in thousands)
Increase (reduction) to cost of revenue and operating expense	$	10,856	$	18,453	$	7,498
Other income (expense), net	10,856		18,453		7,498
Net increase (decrease) to net income	$	—	$	—	$	—

- Definition

Tabular disclosure of components of a stock option or other award plan under which equity-based compensation is awarded to employees, typically comprised of the amount of unearned compensation (deferred compensation cost), compensation expense, and changes in the quantity and fair value of the shares (or other type of equity) granted, exercised, forfeited, and issued and outstanding pertaining to that plan. Disclosure may also include nature and general terms of such arrangements that existed during the period and potential effects of those arrangements on shareholders, effect of compensation cost arising from equity-based payment arrangements on the income statement, method of estimating the fair value of the goods or services received, or the fair value of the equity instruments granted, during the period, cash flow effects resulting from equity-based payment arrangements and, for registrants that accelerate vesting of out of the money share options, reasons for the decision to accelerate.

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