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EMPLOYEE STOCK PLANS (Tables)
 12 Months Ended
Oct. 01, 2021
Share-based Payment Arrangement [Abstract]  
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs The table below summarizes the effect of recording share-based compensation expense and for the option component of the employee stock purchase plan shares:
Fiscal Year
(In millions)
202120202019
Cost of revenues
$1.4 $1.1 $1.2 
Research and development
3.0 2.5 2.2 
Selling, general and administrative
9.5 9.8 8.3 
Total share-based compensation expense
$13.9 $13.4 $11.7 
Schedule of Share-based Payment Award, Employee Stock Purchase Plan, Valuation Assumptions The Company utilized the Black-Scholes valuation model for estimating the fair value of stock options granted and the option component of ESPP grants. The Company calculated the fair value of option grants and option component of ESPP grants on the respective dates of grant using the following weighted average assumptions:
Employee Stock Option Plan
Employee Stock Purchase Plans
Fiscal Year
Fiscal Year
202120202019202120202019
Expected term (in years)
7.06.14.60.50.50.5
Risk-free interest rate
1.0 %1.1 %2.5 %0.1 %0.9 %2.5 %
Expected volatility
41.5 %36.9 %33.9 %68.4 %50.0 %43.9 %
Expected dividend
— %— %— %— %— %— %
Weighted average fair value at grant date
$9.37$7.53$10.19$5.90$7.94$7.81
Schedule of Share-based Compensation, Stock Options, Activity The following table summarizes the activity for stock options under Varex’s employee incentive plans for the Company’s employees:
(In thousands, except per share amounts and the remaining term)
Options
Price range
Weighted Average
Exercise Price
Weighted Average Remaining Term (in years)
Aggregate Intrinsic Value (1)
Outstanding at October 2, 2020
2,735 
$13.61 - $37.60
$29.23 4.5$— 
Granted
399 
$25.06 - $27.95
25.19 
Canceled, expired or forfeited
(323)
$25.17 - $37.10
28.90 
Outstanding at October 1, 2021
2,811 
$13.61 - $37.60
$28.69 4.7$5,161.0 
Exercisable at October 1, 2021
1,911 
$13.61 - $37.60
$30.36 3.1$1,597.6 
(1) The aggregate intrinsic value represents the total pre-tax intrinsic value, which is computed based on the difference between the exercise price and the closing price of Varex common stock of $28.58 as of October 1, 2021, the last trading date of the Company's respective fiscal years, and which represents the amount that would have been received by the option holders had all option holders exercised their options and sold the shares received upon exercise as of that date.
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity The following table summarizes the activity for restricted stock units, restricted stock awards and deferred stock units under Varex’s employee incentive plans for the Company’s employees:
(In thousands, except per share amounts)
Number of Shares
Weighted Average
Grant-Date Fair
Value
Balance at October 2, 2020
955 $25.54 
Granted
388 22.81 
Vested
(199)33.63 
Canceled, expired or forfeited
(64)23.39 
Balance at October 1, 2021
1,080 $23.25