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Share-Based Compensation (Tables)
12 Months Ended
Dec. 31, 2014
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]  
Income Tax Benefit Recognized for our Share-Based Compensation Arrangements

Compensation cost charged against income, primarily SG&A expense, and the income tax benefit recognized for our share-based compensation arrangements is included below:

 

     Years Ended December 31,  
     2014      2013      2012  
            (In thousands)         

Total share-based compensation cost

   $ 18,858       $ 14,854       $ 12,374   

Income tax benefit

     7,334         5,777         4,812   
Fair Values for SARs and Stock Options Estimated on Grant Date Using Black-Scholes-Merton Option-Pricing Formula Which Incorporates Assumptions

We recognize compensation cost for all awards based on their fair values. The fair values for SARs and stock options are estimated on the grant date using the Black-Scholes-Merton option-pricing formula which incorporates the assumptions noted in the following table. Expected volatility is based on historical volatility, and expected term is based on historical exercise patterns of option holders. The fair value of restricted stock units is the closing market price of our common stock on the date of grant. Compensation costs for awards with service conditions are amortized to expense using the straight-line method. Compensation costs for awards with performance conditions and graded vesting are amortized to expense using the graded attribution method.

 

     Years Ended December 31,  
     2014     2013     2012  
     (In thousands, except weighted average fair  
     value and assumptions)  

Weighted-average fair value of SARs and options granted

   $ 35.46      $ 24.63      $ 19.53   

Total intrinsic value of SARs converted and options exercised

     24,023        47,058        8,898   

Cash received for options exercised

     48        14,030        2,372   

Tax benefit related to share-based compensation

     6,859        10,734        4,119   

Weighted-average fair value of restricted stock shares and units granted

     72.46        50.38        35.85   

Total fair value of restricted stock shares and units vested

     7,888        9,032        9,017   

Expected volatility

     52.63     53.94     54.26

Expected term (in years)

     5.8        6.1        6.1   

Risk-free rate

     1.79     1.04     1.11

Dividend yield

     0.28     0.40     0.50

Fair Value of Restricted Stock Shares and Units is Market Price of our Common Stock on Date of Grant
SARs and Stock Options      Restricted Shares and Units  
     Number     Weighted-
Average
Exercise

Price
     Weighted-
Average
Remaining
Contractual
Term
     Aggregate
Intrinsic Value
     Number     Weighted-
Average
Grant-Date
Fair Value
 
           (In thousands, except exercise prices, fair values, and contractual terms)        

Outstanding at January 1, 2014

     1,668      $ 36.37               442      $ 41.32   

Granted

     204        72.55               192        72.46   

Exercised or converted

     (542     29.52               (110     33.54   

Forfeited or expired

     (25     51.52               (31     52.08   
  

 

 

   

 

 

          

 

 

   

 

 

 

Outstanding at December 31, 2014

  1,305    $ 44.60      7.1    $ 44,675      493    $ 54.76   
  

 

 

   

 

 

    

 

 

    

 

 

    

 

 

   

 

 

 

Vested or expected to vest at December 31, 2014

  1,279    $ 44.28      7.1    $ 44,159   

Exercisable or convertible at December 31, 2014

  739      36.68      6.3      31,127