Share-Based Compensation (Tables)

12 Months Ended

Dec. 31, 2018

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

Summary Of Stock Option Activity Under All Stock Plans

Option activity during fiscal 2018 under all the stock plans was as follows (in millions, except per share amounts):



	Stock Options Outstanding
	Number Outstanding		Weighted Average Exercise Price Per Share
Balance at December 31, 2017	7.2		$	164.16
Options granted	0.6		$	475.38
Options exercised	(1.5	)	$	126.52
Options forfeited/expired	(0.1	)	$	237.05
Balance at December 31, 2018	6.2		$	200.79

Summary Of Significant Ranges Of Outstanding And Exercisable Options

The following table summarizes significant ranges of outstanding and exercisable options as of December 31, 2018 (number of shares and aggregate intrinsic value in millions):



	Options Outstanding						Options Exercisable
Range of Exercise Prices	Number of Shares	Weighted Average Remaining Contractual Life	Weighted Average Exercise Price Per Share		Aggregate Intrinsic Value (1)		Number of Shares	Weighted Average Remaining Contractual Life	Weighted Average Exercise Price Per Share		Aggregate Intrinsic Value (1)
$31.96 - $127.91	1.4	2.7	$	115.05			1.4		$	115.05
$128.30 - $168.41	1.3	4.6	$	156.67			1.3		$	156.62
$169.42 - $178.39	1.4	5.6	$	174.50			1.2		$	174.17
$178.75 - $283.51	1.2	6.2	$	214.60			0.9		$	207.77
$310.67 - $548.71	0.9	9.1	$	423.33			0.2		$	388.12
Total	6.2	5.4	$	200.79	$	1,727.7	5.0	4.7	$	168.62	$	1,554.5


(1)	The aggregate intrinsic value represents the total pre-tax intrinsic value, based on the Company’s closing stock price of $478.92 at December 31, 2018, which would have been received by the option holders had all in-the-money option holders exercised their options as of that date.

Summary of RSU Activity

RSU activity for the year ended December 31, 2018, was as follows (in millions, except per share amounts):



	Shares		Weighted Average Grant Date Fair Value
Unvested balance at December 31, 2017	2.1		$	209.55
Granted	0.8		$	431.11
Vested	(0.8	)	$	195.67
Forfeited	(0.1	)	$	277.10
Unvested balance at December 31, 2018	2.0		$	295.70

Summary Of Share-Based Compensation Expense

The following table summarizes share-based compensation expense (in millions):



	Years Ended December 31,
	2018		2017		2016
Cost of sales—products	$	36.4	$	28.1	$	25.2
Cost of sales—services	16.8		14.0		12.4
Total cost of sales	53.2		42.1		37.6
Selling, general and administrative	133.2		111.8		97.4
Research and development	76.2		56.0		43.0
Share-based compensation expense before income taxes	262.6		209.9		178.0
Income tax effect	54.3		49.2		56.1
Share-based compensation expense after income taxes	$	208.3	$	160.7	$	121.9

Schedule Of Estimated Fair Values Of The Option Using Black-Scholes Option Pricing Model, Weighted Average Assumptions and Fair Value of RSUs

The weighted average estimated fair values of stock options, the rights to acquire stock granted, and RSUs, as well as the weighted average assumptions used in calculating the fair values of stock options and rights to acquire stock under the ESPP that were granted during the years ended December 31, 2018, 2017, and 2016, were as follows:



	Years Ended December 31,
STOCK OPTION PLANS	2018			2017			2016
Risk-free interest rate	2.7		%	1.8		%	1.1		%
Expected term (years)	4.3			4.1			4.2
Volatility	33		%	25		%	26		%
Fair value at grant date	$	146.30		$	67.03		$	47.06
EMPLOYEE STOCK PURCHASE PLAN
Risk-free interest rate	2.1		%	1.2		%	0.6		%
Expected term (years)	1.3			1.2			1.2
Volatility	32		%	28		%	30		%
Fair value at grant date	$	135.84		$	79.77		$	57.57
RESTRICTED STOCK UNITS
Fair value at grant date	$	431.11		$	249.34		$	184.59