Share-Based Compensation

3 Months Ended

Mar. 30, 2013

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Share-Based Compensation and Equity

Share-Based Compensation and Equity

Stock Options

Options activity for the three months endedMarch 30, 2013 was as follows:

(In thousands, except per share data)	Number of Shares		Weighted- Average Exercise  Price		Aggregate Intrinsic  Value		Weighted-Average       Remaining       Contractual  Term (Yrs)
Outstanding at beginning of year	12,036		$	33.97
Granted	313		89.16
Exercised	(419	)	19.25
Forfeited and expired	(13	)	67.73
Outstanding as of March 30, 2013	11,917		35.90		$	701,195	6.29
Exercisable as of March 30, 2013	7,135		$	18.25	$	545,759	5.03

The weighted-average assumptions used to estimate the fair value of stock options granted in 2013 were as follows:

Expected volatility (%)	33.3		%
Expected term (yrs)	9.1
Risk-free rate (%)	2.0		%
Fair value per option	$	39.11

As of March 30, 2013, there was $101.2 million of total unrecognized compensation cost related to stock options granted under all plans. That cost is expected to be recognized over a weighted-average period of 3.16 years.

Non-vested Shares

Non-vested share activity for the three months endedMarch 30, 2013 was as follows:

(In thousands, except per share data)	Number of Shares	Weighted-Average Grant Date Fair Value
Outstanding at beginning of year	301	$	56.82
Granted	44	89.58
Vested	—	—
Forfeited	—	—
Outstanding as of March 30, 2013	345	$	61.01

As of March 30, 2013, there was $10.6 million of total unrecognized compensation cost related to non-vested share awards granted under all plans. That cost is expected to be recognized over a weighted-average period of 1.29 years.

The following table presents total compensation expense recognized with respect to stock options, non-vested shares and our associate stock purchase plan:

	Three Months Ended
(In thousands)	2013			2012
Stock option and non-vested share compensation expense	$	10,594		$	8,331
Associate stock purchase plan expense	831			732
Amounts capitalized in software development costs, net of amortization	(199		)	(114		)
Amounts charged against earnings, before income tax benefit	$	11,226		$	8,949
Amount of related income tax benefit recognized in earnings	$	4,356		$	3,423

Treasury Stock

In December 2012, our Board of Directors authorized a stock repurchase program of up to $170.0 million of our common stock. The repurchases are to be effectuated in the open market, by block purchase, or possibly through other transactions managed by broker-dealers. No time limit was set for completion of the program.

For the three months ended March 30, 2013, we repurchased 0.7 million shares for total consideration of $63.2 million. These shares are recorded as treasury stock and are accounted for under the cost method. No repurchased shares have been retired.