XML 57 R42.htm IDEA: XBRL DOCUMENT
v3.5.0.1

EMPLOYEE BENEFIT PLANS (Tables) | 12 Months Ended
--- | ---
May 31, 2016
Stock-Based Compensation Plans [Abstract] |
Summary of Restricted Stock Based Award Activity |
|  | Restricted Stock-Based Awards Outstanding
(in millions, except fair value) |  |  |  | Weighted-Average Grant Date Fair Value
Number of
Shares
Balance, May 31, 2014 |  | 1 |  | $ | 35.29
Granted |  | 28 |  | $ | 40.73
Canceled |  | (1) |  | $ | 39.52
Balance, May 31, 2015 |  | 28 |  | $ | 40.63
Granted |  | 34 |  | $ | 38.50
Vested |  | (7) |  | $ | 40.39
Canceled |  | (3) |  | $ | 39.73
Balance, May 31, 2016 |  | 52 |  | $ | 39.29
Summary of Stock Option Activity |
|  | Options Outstanding
(in millions, except exercise price) |  | Shares Under Option |  | Weighted-Average
Exercise
Price
Balance, May 31, 2013 |  | 447 |  | $ | 25.48
Granted |  | 131 |  | $ | 31.02
Assumed |  | 5 |  | $ | 9.02
Exercised |  | (95) |  | $ | 21.51
Canceled |  | (26) |  | $ | 30.60
Balance, May 31, 2014 |  | 462 |  | $ | 27.37
Granted |  | 34 |  | $ | 40.54
Assumed |  | 3 |  | $ | 21.98
Exercised |  | (70) |  | $ | 24.49
Canceled |  | (16) |  | $ | 33.76
Balance, May 31, 2015 |  | 413 |  | $ | 28.64
Granted(1) |  | 25 |  | $ | 40.34
Assumed |  | 1 |  | $ | 4.97
Exercised |  | (53) |  | $ | 25.13
Canceled |  | (11) |  | $ | 35.19
Balance, May 31, 2016 |  | 375 |  | $ | 29.66
(1) | Approximately 7 million of the 25 million stock options granted during fiscal 2016 were to our Chief Executive Officers and Chief Technology Officer and had contractual lives of five years versus the 10-year contractual lives for the other stock options granted.
|  | Outstanding Options (in millions) |  | Weighted- |  | Weighted-Average Remaining Contract Term (in years) |  | In-the-Money Options as of May 31, 2016 (in millions) |  | Aggregate Intrinsic Value(1) (in millions)
Average
Exercise
Price
Vested |  | 253 |  | $ | 27.52 |  | 4.83 |  | 245 |  | $ | 3,232
Expected to vest(2) |  | 115 |  | $ | 33.91 |  | 7.20 |  | 76 |  |  | 736
Total |  | 368 |  | $ | 29.52 |  | 5.57 |  | 321 |  | $ | 3,968
__________
(1) | The aggregate intrinsic value was calculated based on the gross difference between our closing stock price on the last trading day of fiscal 2016 of $40.20 and the exercise prices for all “in-the-money” options outstanding, excluding tax effects.
(2) | The unrecognized compensation expense calculated under the fair value method for shares expected to vest (unvested shares net of expected forfeitures) as of May 31, 2016 was approximately $474 million and is expected to be recognized over a weighted average period of 2.02 years. Approximately 7 million shares outstanding as of May 31, 2016 were not expected to vest.
Valuation of Stock Options |
|  | Year Ended May 31,
|  | 2016 |  | 2015 |  | 2014
Expected life (in years) |  |  | 4.8 |  |  | 5.1 |  |  | 4.9
Risk-free interest rate |  |  | 1.6% |  |  | 1.7% |  |  | 1.3%
Volatility |  |  | 24% |  |  | 23% |  |  | 27%
Dividend yield |  |  | 1.5% |  |  | 1.2% |  |  | 1.5%
Weighted-average fair value per share |  | $ | 8.49 |  | $ | 9.62 |  | $ | 7.47
Stock-Based Compensation Expense |
|  | Year Ended May 31,
(in millions) |  | 2016 |  | 2015 |  | 2014
Sales and marketing |  | $ | 220 |  | $ | 180 |  | $ | 165
Cloud software as a service and platform as a service |  |  | 17 |  |  | 10 |  |  | 8
Cloud infrastructure as a service |  |  | 4 |  |  | 5 |  |  | 4
Software license updates and product support |  |  | 23 |  |  | 21 |  |  | 22
Hardware products |  |  | 7 |  |  | 6 |  |  | 5
Hardware support |  |  | 5 |  |  | 6 |  |  | 6
Services |  |  | 29 |  |  | 30 |  |  | 29
Research and development |  |  | 609 |  |  | 522 |  |  | 385
General and administrative |  |  | 120 |  |  | 148 |  |  | 171
Acquisition related and other |  |  | 3 |  |  | 5 |  |  | 10
Total stock-based compensation |  |  | 1,037 |  |  | 933 |  |  | 805
Estimated income tax benefit included in provision for income taxes |  |  | (322) |  |  | (294) |  |  | (260)
Total stock-based compensation, net of estimated income tax benefit |  | $ | 715 |  | $ | 639 |  | $ | 545

X
- References No definition available. + Details
Name: | us-gaap_EmployeeBenefitsAndShareBasedCompensationAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the allocation of equity-based compensation costs to a given line item on the balance sheet and income statement for the period. This may include the reporting line for the costs and the amount capitalized and expensed. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (h)(1) -URI http://asc.fasb.org/extlink&oid=6415400&loc=d3e5070-113901 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 1 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=6415400&loc=d3e5047-113901 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SAB TOPIC 14.F) -URI http://asc.fasb.org/extlink&oid=27013229&loc=d3e301413-122809 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Staff Accounting Bulletin (SAB) -Number Topic 14 -Section F + Details
Name: | us-gaap_ScheduleOfEmployeeServiceShareBasedCompensationAllocationOfRecognizedPeriodCostsTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the number and weighted-average grant date fair value for restricted stock units that were outstanding at the beginning and end of the year, and the number of restricted stock units that were granted, vested, or forfeited during the year. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (c)(1) -URI http://asc.fasb.org/extlink&oid=6415400&loc=d3e5070-113901 + Details
Name: | us-gaap_ScheduleOfShareBasedCompensationRestrictedStockUnitsAwardActivityTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the number and weighted-average exercise prices (or conversion ratios) for share options (or share units) that were outstanding at the beginning and end of the year, vested and expected to vest, exercisable or convertible at the end of the year, and the number of share options or share units that were granted, exercised or converted, forfeited, and expired during the year. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (c)(1) -URI http://asc.fasb.org/extlink&oid=6415400&loc=d3e5070-113901 + Details
Name: | us-gaap_ScheduleOfShareBasedCompensationStockOptionsActivityTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the significant assumptions used during the year to estimate the fair value of stock options, including, but not limited to: (a) expected term of share options and similar instruments, (b) expected volatility of the entity's shares, (c) expected dividends, (d) risk-free rate(s), and (e) discount for post-vesting restrictions. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (f)(2) -URI http://asc.fasb.org/extlink&oid=6415400&loc=d3e5070-113901 + Details
Name: | us-gaap_ScheduleOfShareBasedPaymentAwardStockOptionsValuationAssumptionsTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration