XML 46 R33.htm IDEA: XBRL DOCUMENT v3.21.2
Stockholders' Equity (Tables)
 12 Months Ended
Oct. 01, 2021
Stockholders' Equity Note [Abstract]  
Dividends Declared The dividends charged to retained earnings in fiscal 2021 and 2020 were as follows (in millions except per share data):
Fiscal Years Ended
October 1,
2021		October 2,
2020
Per ShareTotalPer ShareTotal
First quarter$0.50 $83.0 $0.44 $75.1 
Second quarter0.50 82.6 0.44 74.9 
Third quarter0.50 82.5 0.44 73.5 
Fourth quarter0.56 92.5 0.50 83.5 
$2.06 $340.6 $1.82 $307.0 
Schedule of Share-based Compensation, Stock Options, Activity
The following table represents a summary of the Company’s stock options:
 
 
Shares
(in millions)
  
Weighted average exercise price
Weighted average remaining
       contractual life (in years)		Aggregate intrinsic value (in millions)
Balance outstanding at October 2, 2020
0.4 $70.28 
Granted— $143.87 
Exercised(0.2)$66.35 
Canceled/forfeited— $31.88 
Balance outstanding at October 1, 2021
0.2 $74.68 1.8$16.7 
Exercisable at October 1, 2021
0.2 $74.12 1.7$16.2 
Schedule of Other Share-based Compensation, Activity The following table represents a summary of the Company’s restricted and performance awards and units:
 
 
 Shares
(in millions)
Weighted average
grant date fair value
Non-vested awards outstanding at October 2, 20202.9 $94.77 
Granted (1)1.5 $148.96 
Vested(1.1)$102.94 
Canceled/forfeited(0.6)$105.34 
Non-vested awards outstanding at October 1, 20212.7 $118.90 
(1) includes performance stock awards granted and earned assuming target performance under the underlying performance metrics
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs
The following table summarizes pre-tax share-based compensation expense by financial statement line and related tax benefit (in millions):
Fiscal Years Ended
October 1,
2021		October 2,
2020		September 27,
2019
Cost of goods sold$28.9 $23.2 $13.0 
Research and development85.7 68.7 41.6 
Selling, general and administrative77.3 64.7 25.5 
Total share-based compensation expense$191.9 $156.6 $80.1 
Share-based compensation tax benefit$13.5 $10.3 $1.6 
Capitalized share-based compensation expense at period end$9.8 $10.6 $4.7 
Schedule of Unrecognized Compensation Cost, Nonvested Awards
The following table summarizes total compensation costs related to unvested share-based awards not yet recognized and the weighted average period over which it is expected to be recognized at October 1, 2021:
Unrecognized compensation cost for unvested awards
(in millions)		Weighted average remaining recognition period
(in years)
Awards$202.0 2.9
Options$0.1 1.3
Schedule of Share-based Payment Awards, Performance Shares, Valuation Assumptions Used he fair value of these performance stock unit awards was estimated on the date of the grant using a Monte Carlo simulation with the following weighted average assumptions:

Fiscal Year Ended
October 1,
2021		October 2,
2020		September 27,
2019
Volatility of common stock43.20 %32.22 %32.65 %
Average volatility of peer companies45.96 %33.96 %37.07 %
Average correlation coefficient of peer companies0.65 0.61 0.47
Risk-free interest rate0.25 %1.62 %2.98 %
Dividend yield1.39 %1.78 %1.84 %
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions
The fair value of each stock option is estimated on the date of the grant using the Black-Scholes option pricing model with the following weighted average assumptions:

Fiscal Years Ended
October 1,
2021		October 2,
2020		September 27,
2019
Expected volatility39.65 %34.26 %34.47 %
Risk-free interest rate0.13 %1.65 %2.76 %
Dividend yield1.39 %1.78 %1.84 %
Expected option life (in years)4.04.04.0