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Stock-Based Compensation
 9 Months Ended
Dec. 31, 2011
Share-based Compensation, Allocation and Classification in Financial Statements [Abstract]  
Stock-Based Compensation
STOCK-BASED COMPENSATION
The Company recognizes stock-based compensation expense for its stock option plans and Employee Stock Purchase Plan. The following table summarizes stock-based compensation expense recognized by the Company for the three and nine months ended December 31, 2011 and 2010:

 
Three Months Ended
 
Nine Months Ended
 
December 31,
 
December 31,
(In thousands)
2011
 
2010
 
2011
 
2010
Stock-based compensation expense related to:
 
 
 
 
 
 
 
Stock option plans
$
3,311

 
$
3,078

 
$
18,450

 
$
15,998

Employee Stock Purchase Plan - options to purchase stock
971

 
1,188

 
2,902

 
3,537

 
4,282

 
4,266

 
21,352

 
19,535

Tax benefit
(1,410
)
 
(1,449
)
 
(7,370
)
 
(6,746
)
Stock-based compensation expense, net of tax
$
2,872

 
$
2,817

 
$
13,982

 
$
12,789



Fair Value
The Company utilizes the Black-Scholes option pricing model to determine the fair value of stock options. The weighted-average grant date fair value of stock options granted during the nine months ended December 31, 2011 and 2010 was $22.78 and $22.74, respectively.

Summary of Stock Option Activity
The following table summarizes the stock option activity during the nine months ended December 31, 2011:

 
Number of
Stock Options
(In thousands)
 
Weighted-Average
Exercise Price
Outstanding at March 31, 2011
6,886

 
$
41.11

Granted
994

 
$
66.37

Exercised
(849
)
 
$
27.04

Forfeited
(34
)
 
$
56.79

Outstanding at December 31, 2011
6,997

 
$
46.33

Vested or expected to vest at December 31, 2011
6,976

 
$
46.28

Exercisable at December 31, 2011
4,426

 
$
39.20



A total of 1.9 million shares of common stock were available for issuance under the Amended and Restated 2006 Equity Incentive Plan at December 31, 2011.
As of December 31, 2011, $39.3 million of unrecognized non-cash compensation expense related to non-vested stock options is expected to be recognized over a weighted-average vesting period of 1.7 years.
Employee Stock Purchase Plan
The Company’s Employee Stock Purchase Plan (the “ESPP”) encourages and assists employees in acquiring an equity interest in the Company. As of December 31, 2011, the ESPP was authorized to issue up to 5.5 million shares of Company common stock, of which 1.9 million shares were available for issuance.
Compensation expense is measured based on the fair value of the employees’ option to purchase shares of common stock at the grant date and is recognized over the future periods in which the related employee service is rendered. The fair value per share of employee options to purchase shares under the ESPP was $13.16 and $16.05 for the nine months ended December 31, 2011 and 2010, respectively. The fair value of the employees’ option to purchase shares of common stock was estimated using the Black-Scholes model.
The following table summarizes the activity of the ESPP during the nine months ended December 31, 2011:

 
Number of
Purchase Options
(In thousands)
 
Weighted-Average
Exercise Price
Outstanding at March 31, 2011
67

 
$
51.03

Granted
291

 
$
53.97

Exercised
(210
)
 
$
54.20

Outstanding at December 31, 2011
148

 
$
52.31