SHARE-BASED COMPENSATION EXPENSE (Tables)

6 Months Ended

Apr. 30, 2017

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, 2016	1,387		$	26.90
Exercised	(167	)	—
Canceled	(225	)	—
Balance at April 30, 2017	995		$	29.55

Summarizes information with respect to stock options outstanding

The following table summarizes information with respect to stock options outstanding at April 30, 2017, based on Ciena’s closing stock price on the last trading day of Ciena’s second fiscal quarter of 2017 (shares and intrinsic value in thousands):

					Options Outstanding at						Vested Options at
					April 30, 2017						April 30, 2017
					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
$	1.88	—	$	10.18	83	2.67	$	8.16	$	1,229	82	2.61	$	8.14	$	1,216
$	11.34	—	$	17.24	207	4.91	13.42		1,964		198	4.80	13.34		1,893
$	17.50	—	$	30.46	145	1.97	25.66		167		135	1.55	26.20		121
$	31.93	—	$	37.10	323	1.85	35.19		—		323	1.85	35.19		—
$	37.82	—	$	55.63	237	4.07	45.89		—		231	4.02	45.91		—
$	1.88	—	$	55.63	995	3.10	$	29.55	$	3,360	969	2.99	$	29.73	$	3,230

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, 2016	4,280		$	19.96	$	83,511
Granted	2,092
Vested	(1,306	)
Canceled or forfeited	(433	)
Balance at April 30, 2017	4,633		$	21.22	$	106,143

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,
	2017		2016		2017		2016
Product costs	$	708	$	629	$	1,269	$	1,200
Service costs	679		693		1,307		1,285
Share-based compensation expense included in cost of sales	1,387		1,322		2,576		2,485
Research and development	3,653		3,791		6,862		7,219
Sales and marketing	3,513		3,923		6,386		8,658
General and administrative	3,417		4,968		8,870		10,097
Acquisition and integration costs	—		697		—		714
Share-based compensation expense included in operating expense	10,583		13,379		22,118		26,688
Share-based compensation expense capitalized in inventory, net	35		32		136		37
Total share-based compensation	$	12,005	$	14,733	$	24,830	$	29,210