Share-Based Compensation Plans (Tables)

12 Months Ended

Oct. 31, 2012

Compensation Expense and Related Income Tax Benefit in Connection with Share-Based Compensation Plans

Compensation expense and related income tax benefit in connection with the Company’s share-based compensation plans for the years ended October 31, 2012, 2011 and 2010 were as follows:

Years Ended October 31,	2012			2011			2010
(in thousands)
Share-based compensation expense recognized in selling, general and administrative expenses before income taxes	$	10,236		$	9,191		$	4,071
Income tax benefit		(4,247	)		(3,805	)		(1,691	)
	$	5,989		$	5,386		$	2,380

Assumptions Used in Option Valuation Model

The assumptions used in the option valuation model for the years ended October 31, 2012, 2011 and 2010 are shown in the table below:

	2012		2011		2010
Expected life from the date of grant (1)		5.6 years		5.6 years		5.6 years
Expected stock price volatility (2)		41.6%		39.2% – 40.4%		38.5% – 39.0%
Expected dividend yield (3)		3.0%		2.3% – 2.6%		2.6% – 2.7%
Risk-free interest rate (4)		0.8%		1.0% – 2.1%		1.7% – 2.6%
Weighted average fair value of option grants	$	5.25	$	6.52	$	6.37

(1) The expected life for options granted under the 2006 Equity Plan is based on observed historical exercise patterns of the previously granted options adjusted to reflect the change in vesting and expiration dates.

(2) The expected volatility is based on considerations of implied volatility from publicly traded and quoted options on the Company’s common stock and the historical volatility of the Company’s common stock.

(3) The dividend yield is based on the historical dividend yield over the expected term of the options granted.

(4) The risk-free interest rate is based on the continuous compounded yield on U.S. Treasury Constant Maturity Rates with a remaining term equal to the expected term of the option.

RSU Activity

RSU activity in the year ended October 31, 2012 is summarized below:

	Number of Shares (in thousands)			Weighted- Average Grant Date Fair Value per Share
Outstanding at October 31, 2011		1,107		$	20.38
Granted		430			18.77
Issued (including 63 shares withheld for income taxes)		(224	)		20.68
Forfeited		(82	)		20.55
Outstanding at October 31, 2012		1,231		$	19.74
Vested at October 31, 2012		224		$	20.68

Performance Share Activity

Performance share activity in the year ended October 31, 2012 is summarized below:

	Number of Shares (in thousands)			Weighted- Average Grant Date Fair Value per Share
Outstanding at October 31, 2011		592		$	21.74
Granted		288			23.16
Issued (including 43 shares withheld for income taxes)		(122	)		18.00
Change in units based on performance		(27	)		23.32
Forfeited		(33	)		22.68
Outstanding at October 31, 2012		698		$	22.99
Vested at October 31, 2012		122		$	17.90

Employee Stock Options

Stock Option Activity

Stock option activity in the year ended October 31, 2012 is summarized below:

	Number of Shares (in thousands)			Weighted- Average Exercise Price per Share		Weighted- Average Remaining Contractual Term (in years)		Aggregate Intrinsic Value (in thousands)
Outstanding at October 31, 2011		1,676		$	20.91
Granted		231			18.31
Forfeitures		(110	)		20.62
Exercised		(104	)		19.23
Outstanding at October 31, 2012		1,693		$	20.68		4.39	$	285
Vested and exercisable at October 31, 2012		712		$	20.27		2.86	$	98

Time Vested, Price Vested, Age Vested

Stock Option Activity

The combined plan activity for the Time-Vested, Price-Vested and Age-Vested Plans in the year ended October 31, 2012 is summarized below:

	Number of Shares (in thousands)			Weighted- Average Exercise Price per Share		Weighted- Average Remaining Contractual Term (in years)		Aggregate Intrinsic Value (in thousands)
Outstanding at October 31, 2011		1,650		$	13.70 – $18.79
Exercised		(517	)		15.29 – 17.15
Forfeited or expired		(16	)		5.63 – 19.76
Outstanding at October 31, 2012		1,117		$	13.80 – $19.61		2.30 – 41.75	$	2,354
Vested and exercisable at October 31, 2012		849		$	11.36 – $19.61		2.30 – 42.30	$	1,156