Share-Based Compensation Expense (Tables)

9 Months Ended

Jul. 31, 2014

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

The following table is a summary of Ciena’s stock option activity for the period indicated (shares in thousands):



	Shares Underlying Options Outstanding		Weighted Average Exercise Price
Balance at October 31, 2013	2,102		$	27.46
Exercised	(153	)	17.28
Canceled	(571	)	36.11
Balance at July 31, 2014	1,378		$	25.00

Summarizes information with respect to stock options outstanding

The following table summarizes information with respect to stock options outstanding at July 31, 2014, based on Ciena’s closing stock price on the last trading day of Ciena’s third fiscal quarter of 2014 (shares and intrinsic value in thousands):



					Options Outstanding and Vested at
					July 31, 2014
					Number	Weighted Average Remaining	Weighted
Range of					of	Contractual	Average		Aggregate
Exercise					Underlying	Life	Exercise		Intrinsic
Price					Shares	(Years)	Price		Value
$	0.94	—	$	16.31	163	3.44	$	8.08	$	1,791
$	16.52	—	$	17.29	247	0.95	16.64		609
$	17.43	—	$	24.50	196	1.44	18.70		195
$	24.69	—	$	28.28	286	2.65	27.31		—
$	28.61	—	$	31.43	102	3.03	29.79		—
$	31.71	—	$	32.55	19	1.43	31.92		—
$	33.00	—	$	37.10	249	3.29	35.23		—
$	37.31	—	$	47.32	116	2.99	44.30		—
$	0.94	—	$	47.32	1,378	2.42	$	25.00	$	2,595

Summary of restricted stock unit activity

The following table is a summary of Ciena’s restricted stock unit activity for the period indicated, with the aggregate fair value of the balance outstanding at the end of each period, based on Ciena’s closing stock price on the last trading day of the relevant period (shares and aggregate fair value in thousands):



	Restricted Stock Units Outstanding		Weighted Average Grant Date Fair Value Per Share		Aggregate Fair Value
Balance at October 31, 2013	4,419		$	15.33	$	102,745
Granted	1,819
Vested	(1,757	)
Canceled or forfeited	(127	)
Balance at July 31, 2014	4,354		$	17.90	$	83,173

Share-based compensation expense

The following table summarizes share-based compensation expense for the periods indicated (in thousands):



	Quarter Ended July 31,						Nine Months Ended July 31,
	2013			2014			2013			2014
Product costs	$	658		$	737		$	1,905		$	1,984
Service costs	461			572			1,323			1,720
Share-based compensation expense included in cost of sales	1,119			1,309			3,228			3,704
Research and development	2,054			2,368			6,291			7,722
Sales and marketing	3,562			3,890			9,687			12,199
General and administrative	3,198			3,376			8,898			10,543
Share-based compensation expense included in operating expense	8,814			9,634			24,876			30,464
Share-based compensation expense capitalized in inventory, net	(48		)	(182		)	(72		)	36
Total share-based compensation	$	9,885		$	10,761		$	28,032		$	34,204