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Equity and Cash Incentive Program (Tables)
 12 Months Ended
Dec. 31, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Stock-based incentive plans compensation expense
Stock-based compensation costs are reported within selling and administrative expenses. The following table summarizes the Company’s compensation expense relating to all stock-based incentive plans:
 
Years Ended December 31,
 
2014
 
2013
 
2012
Pre-tax compensation expense
$
31,628

 
$
30,480

 
$
30,884

Tax benefit
(11,201
)
 
(10,745
)
 
(10,904
)
Total stock-based compensation expense, net of tax
$
20,427

 
$
19,735

 
$
19,980
Summary of activity relating to SARs and stock options
A summary of activity relating to SARs and stock options granted under the 2012 Plan and the predecessor plans for the year ended December 31, 2014 is as follows:
 
SARs
 
Stock Options
 
Number of Shares
 
Weighted Average Exercise Price
 
Weighted Average Remaining Contractual Term (Years)
 
Number of Shares
 
Weighted Average Exercise Price
 
Weighted Average Remaining Contractual Term (Years)
Outstanding at 1/1/2014
7,520,760

 
$
56.67

 
 
 
209,827

 
$
38.39

 
 
Surrendered upon spin-off (1)
(359,151
)
 
62.55

 
 
 
(4,555
)
 
38.00

 
 
Modification upon spin-off (2)
933,845

 
—

 
 
 
20,523

 
—

 
 
Granted
1,043,734

 
82.51

 
 
 
—

 
—

 
 
Forfeit / expired
(281,822
)
 
65.65

 
 
 
(7,605
)
 
41.79

 
 
Exercised
(1,216,624
)
 
43.97

 
 
 
(165,283
)
 
35.04

 
 
Outstanding at 12/31/2014
7,640,742

 
54.69

 
6.3
 
52,907

 
33.50

 
0.1
 
 
 
 
 
 
 
 
 
 
 
 
Exercisable at 12/31/2014
3,631,702

 
$
42.43

 
4.6
 
52,907

 
$
33.50

 
0.1

(1)
In connection with the spin-off on February 28, 2014, Knowles employees surrendered their outstanding Dover equity awards, which were then converted to Knowles equity awards.
(2)
Subsequent to the separation of Knowles, the Company modified its outstanding equity awards to employees such that all individuals received an equivalent fair value both before and after the separation, which resulted in a lower exercise price for all outstanding equity awards at the time of modification.
Other information for SARs and stock options
Other information regarding the exercise of SARs and stock options is listed below:
 
2014
 
2013
 
2012
SARs
 
 
 
 
 
Fair value of SARs that became exercisable
$
26,796

 
$
23,605

 
$
16,484

Aggregate intrinsic value of SARs exercised
$
51,813

 
$
83,944

 
$
61,531

 
 
 
 
 
 
Stock Options
 
 
 
 
 
Cash received by Dover for exercise of stock options
$
5,227

 
$
14,830

 
$
38,029

Aggregate intrinsic value of options exercised
$
8,614

 
$
19,937

 
$
29,866
Summary of activity for performance share awards
A summary of activity for performance share awards for the year ended December 31, 2014 is as follows:
 
Number of Shares
 
Weighted-Average
Grant-Date
Fair Value
Unvested at January 1, 2014
92,545

 
$
76.05

Surrendered upon spin-off (1)
(7,177
)
 
76.67

Modification upon spin-off (2)
11,480

 
—

Granted
58,206

 
82.51

Forfeit
(2,381
)
 
80.21

Vested (3)
(50,950
)
 
63.43

Unvested at December 31, 2014
101,723

 
$
77.33


(1)
In connection with the spin-off on February 28, 2014, Knowles employees surrendered their outstanding Dover equity awards, which were then converted to Knowles equity awards.
(2)
Subsequent to the separation of Knowles, the Company modified its outstanding equity awards to employees such that all individuals received an equivalent fair value both before and after the separation.
(3)
Under the terms of the performance share award, the actual number of shares awarded can range from zero to 200% of the original target grant, depending on Dover's three-year performance relative to the peer group for the relevant performance period. The awards that vested in 2014, as shown above, will result in zero issuances of Dover common shares as a result of the three-year performance from 2012 - 2014 relative to its peer group.
Summary of activity for restricted stock units
A summary of activity for restricted stock awards for the year ended December 31, 2014 is as follows:
 
Number of Shares
 
Weighted-Average
Grant-Date
Fair Value
Unvested at January 1, 2014
40,000

 
$
66.59

Modification upon spin-off (1)
5,389

 
—

Granted
131,719

 
82.51

Forfeit
(10,623
)
 
82.51

Vested
(485
)
 
82.51

Unvested at December 31, 2014
166,000

 
$
76.00

(1)
Subsequent to the separation of Knowles, the Company modified its outstanding equity awards to employees such that all individuals received an equivalent fair value both before and after the separation.
Shares granted to directors

The Company issued the following shares to its non-employee directors under the 2012 Plan as partial compensation for serving as directors of the Company:
 
Years ended December 31,
 
2014
 
2013
 
2012
Aggregate shares granted
17,331

 
14,271

 
20,344

Shares deferred
(8,904
)
 
(6,929
)
 
—

Shares withheld to satisfy tax obligations
(210
)
 
(354
)
 
(544
)
Net shares issued
8,217

 
6,988

 
19,800
Stock Appreciation Rights (SARs) [Member]  
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Assumptions used in determining fair value of stock appreciation rights and performance shares awarded during the period
The fair value of each SAR grant was estimated on the date of grant using a Black-Scholes option-pricing model with the following assumptions:
 
2014
 
2013
 
2012
Risk-free interest rate
1.70
%
 
1.39
%
 
1.05
%
Dividend yield
1.98
%
 
2.06
%
 
2.03
%
Expected life (years)
5.3

 
7.1

 
5.7

Volatility
30.81
%
 
33.78
%
 
36.41
%
Grant price
$
82.51

 
$
63.33

 
$
57.62

Fair value at date of grant (1)
$
19.84

 
$
18.17

 
$
16.31


(1)
Updated to reflect the modification of grants issued prior to 2014 in connection with the separation of Knowles.
Awards outstanding, vested and exercisable
 
 
SARs Outstanding

SARs Exercisable
Range of Exercise Prices
 
Number of Shares

Weighted Average
Exercise Price

Weighted Average
Remaining Life
in Years
 
Aggregate Intrinsic Value

Number of Shares

Weighted Average
Exercise Price

Weighted Average
Remaining Life
in Years
 
Aggregate Intrinsic Value
$25.96 - $37.79
 
2,130,558

 
$
34.01

 
4.5
 
$
80,342


2,130,558

 
$
34.01

 
4.5
 
$
80,342

$40.54 - $58.69
 
3,039,611

 
$
55.97

 
5.7
 
$
47,863


1,491,509

 
$
54.26

 
4.9
 
$
26,035

$63.33 - $82.51
 
2,470,573

 
$
70.95

 
8.5
 
$
12,490


9,635

 
$
70.57

 
8.5
 
$
50

 
 
7,640,742

 
 
 
 
 
$
140,695

 
3,631,702

 
 
 
 
 
$
106,427
Performance Shares [Member]  
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Assumptions used in determining fair value of stock appreciation rights and performance shares awarded during the period
 
2013
 
2012
Risk-free interest rate
0.40
%
 
0.37
%
Dividend yield
2.06
%
 
2.03
%
Expected life (years)
2.9

 
2.9

Volatility
30.36
%
 
34.10
%
Fair value of performance award (1)
$
70.92

 
$
63.43


(1)
Updated to reflect the modification of grants issued prior to 2014 in connection with the separation of Knowles.