SHARE-BASED COMPENSATION EXPENSE (Tables)

6 Months Ended

Apr. 30, 2016

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

Summary of stock option activity

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, 2015	2,293		$	24.45
Exercised	(234	)	9.73
Canceled	(276	)	39.06
Balance at April 30, 2016	1,783		$	24.13

Summarizes information with respect to stock options outstanding

The following table summarizes information with respect to stock options outstanding at April 30, 2016, based on Ciena’s closing stock price on the last trading day of Ciena’s second fiscal quarter of 2016 (shares and intrinsic value in thousands):

					Options Outstanding at						Vested Options at
					April 30, 2016						April 30, 2016
					Number	Weighted Average Remaining	Weighted				Number	Weighted Average Remaining	Weighted
Range of					of	Contractual	Average		Aggregate		of	Contractual	Average		Aggregate
Exercise					Underlying	Life	Exercise		Intrinsic		Underlying	Life	Exercise		Intrinsic
Price					Shares	(Years)	Price		Value		Shares	(Years)	Price		Value
$	0.05	—	$	11.16	297	2.95	$	6.88	$	2,958	295	2.91	$	6.86	$	2,947
$	11.34	—	$	17.24	483	5.54	13.49		1,615		438	5.39	13.38		1,514
$	17.50	—	$	30.52	410	1.72	26.60		—		386	1.32	27.08		—
$	31.93	—	$	37.10	339	2.93	35.14		—		321	2.72	35.12		—
$	37.82	—	$	55.63	254	5.31	45.82		—		204	4.87	45.84		—
$	0.05	—	$	55.63	1,783	3.70	$	24.13	$	4,573	1,644	3.40	$	23.70	$	4,461

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, 2015	4,886		$	20.02	$	117,951
Granted	2,055
Vested	(1,686	)
Canceled or forfeited	(253	)
Balance at April 30, 2016	5,002		$	19.91	$	84,182

Share-based compensation expense

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

	Quarter Ended April 30,				Six Months Ended April 30,
	2016		2015		2016		2015
Product costs	$	629	$	653	$	1,200	$	1,140
Service costs	693		574		1,285		1,093
Share-based compensation expense included in cost of sales	1,322		1,227		2,485		2,233
Research and development	3,791		2,534		7,219		4,701
Sales and marketing	3,923		3,841		8,658		7,500
General and administrative	4,968		3,723		10,097		7,642
Acquisition and integration costs	697		—		714		—
Share-based compensation expense included in operating expense	13,379		10,098		26,688		19,843
Share-based compensation expense capitalized in inventory, net	32		4		37		60
Total share-based compensation	$	14,733	$	11,329	$	29,210	$	22,136