Stock-Based Compensation (Tables)

12 Months Ended

May 31, 2022

Stock-Based Compensation Expense Included in Consolidated Statements of Income

The following table represents total stock-based compensation expense included in our Consolidated Statements of Income:

Year Ended May 31,	2022			2021			2020
(In thousands)
Stock-based compensation expense, included in SG&A	$	40,114		$	40,926		$	19,789
Stock-based compensation expense, included in restructuring expense		630			47			116
Total stock-based compensation cost		40,744			40,973			19,905
Income tax (benefit)		(5,621	)		(6,877	)		(2,784	)
Total stock-based compensation cost, net of tax	$	35,123		$	34,096		$	17,121

Summary of Weighted-Average Assumptions Related to SARs Grants

The following is a summary of our weighted-average assumptions related to SARs grants made during the last three fiscal years:

Year Ended May 31,	2022			2021			2020
Risk-free interest rate		0.9	%		0.4	%		1.9	%
Expected life of option	6.0 yrs			6.5 yrs			6.5 yrs
Expected dividend yield		1.8	%		1.8	%		2.3	%
Expected volatility rate		24.1	%		24.0	%		22.4	%

Summary of Option and Share-Based Payment Activity

The following tables summarize option and share-based payment activity (including SARs) under these plans during the fiscal year ended May 31, 2022:

	2022
Share-Based Payments	Weighted Average Exercise Price		Number of Shares Under Option
(Shares in thousands)
Balance at June 1, 2021	$	59.28		2,005
Options granted		86.93		340
Options exercised		69.71		(45	)
Balance at May 31, 2022		63.16		2,300
Exercisable at May 31, 2022	$	55.88		1,490

SARs	2022		2021		2020
(In thousands, except per share amounts)
Weighted-average grant-date fair value per SAR	$	16.72	$	14.38	$	11.59
Intrinsic value of options exercised	$	13.77	$	8.80	$	9.62
Tax benefit from options exercised	$	88	$	8,821	$	5,936
Fair value of SARS vested	$	13.49	$	12.59	$	12.27

Directors Equity Incentive Plan 2003

Summary of Share-Based Performance Earned Restricted Stock Activity and Restricted Stock Units

The following table summarizes the share-based activity under the 2003 Plan and 2014 Omnibus Plan related to directors during fiscal 2022:

	Weighted-Average
	Grant-Date
	Fair Value		2022
(Shares in thousands)
Balance at June 1, 2021	$	71.19		56
Shares granted to directors		81.53		18
Shares vested		60.50		(18	)
Balance at May 31, 2022	$	77.95		56

2007 Plan and 2014 Omnibus Plan

Summary of Share-Based Performance Earned Restricted Stock Activity and Restricted Stock Units

The following table sets forth such awards for the year ended May 31, 2022:

	Weighted-Average
	Grant-Date
	Fair Value		2022
(Shares in thousands)
Balance at June 1, 2021	$	37.89		418
Shares granted		86.93		24
Shares exercised		44.91		(56	)
Balance at May 31, 2022	$	40.08		386

Performance Earned Restricted Stock Awards

Summary of Share-Based Performance Earned Restricted Stock Activity and Restricted Stock Units

The following table summarizes the share-based performance-earned restricted stock (“PERS”) and performance stock units (“PSUs”) activity during the fiscal year ended May 31, 2022:

	Weighted-Average
	Grant-Date
	Fair Value		2022
(Shares in thousands)
Balance at June 1, 2021	$	69.13		1,116
Shares granted		86.88		432
Shares forfeited		67.94		(125	)
Shares vested		63.65		(313	)
Balance at May 31, 2022	$	77.71		1,110

Nonvested Shares

Summary of Share-Based Performance Earned Restricted Stock Activity and Restricted Stock Units

The following table summarizes the activity for all nonvested restricted shares during the year ended May 31, 2022:

	Weighted-Average
	Grant-Date Fair		Number of
	Value		Shares
(Shares in thousands)
Balance at June 1, 2021	$	67.65		1,333
Granted		86.68		474
Vested		61.51		(441	)
Forfeited		73.69		(70	)
Balance at May 31, 2022	$	76.38		1,296