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Stock Compensation
 9 Months Ended
Jul. 31, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Stock Compensation
Stock Compensation
The compensation cost recognized in the unaudited condensed consolidated statements of operations for the Company’s stock compensation arrangements was as follows:
 
Three Months Ended 
 July 31,
 
Nine Months Ended 
 July 31,
 
2017
 
2016
 
2017
 
2016
 
(in thousands)
Cost of products
$
3,358

 
$
2,912

 
$
9,170

 
$
8,116

Cost of maintenance and service
1,073

 
650

 
2,881

 
1,792

Research and development expense
13,617

 
13,046

 
39,069

 
36,469

Sales and marketing expense
5,494

 
5,139

 
15,430

 
14,581

General and administrative expense
4,759

 
3,824

 
13,147

 
11,085

Stock compensation expense before taxes
28,301

 
25,571

 
79,697

 
72,043

Income tax benefit
(8,086
)
 
(6,781
)
 
(22,769
)
 
(19,106
)
Stock compensation expense after taxes
$
20,215

 
$
18,790

 
$
56,928

 
$
52,937


In addition to the tax benefit disclosed above, the Company recorded net excess tax benefits from stock-based compensation in the provision for income taxes of $18.4 million and $29.7 million, respectively, for the three and nine months ended July 31, 2017. As of July 31, 2017, there was $223.5 million of unamortized share-based compensation expense relating to options and restricted stock units and awards, which is expected to be amortized over a weighted-average period of approximately 2.6 years.
The intrinsic values of equity awards exercised during the periods are as follows:
 
Three Months Ended 
 July 31,
 
Nine Months Ended 
 July 31,
 
2017
 
2016
 
2017
 
2016
 
(in thousands)
Intrinsic value of awards exercised
$
20,688

 
$
19,530

 
$
49,344

 
$
28,028

In March 2016, the Financial Accounting Standards Board (FASB) issued ASU 2016-09, "Compensation-Stock Compensation (Topic 718), Improvements to Employee Share-Based Payment Accounting." The Company elected to early adopt ASU 2016-09 in the first quarter of fiscal 2017. As required by ASU 2016-09, excess tax benefits recognized on stock-based compensation expense are classified as an operating activity in the consolidated statements of cash flows and the Company has elected to apply this provision on a prospective basis. The Company also elected to account for forfeitures as they occur and recorded a one-time adoption expense of $0.4 million to retained earnings. See Note 15. Taxes for additional information on tax impacts.