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SHARE-BASED AWARDS AND OPTIONS | 6 Months Ended
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Jun. 30, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] |
SHARE-BASED AWARDS AND OPTIONS | SHARE-BASED AWARDS AND OPTIONS The following table summarizes share-based compensation expense and the related income tax benefit recognized for our share-based awards and stock options:
| Three Months Ended |  | Six Months Ended
| June 30, 2017 |  | June 30, 2016 |  | June 30, 2017 |  | June 30, 2016
| (in thousands)
Share-based compensation expense | $ | 12,337 |  |  | $ | 10,325 |  |  | $ | 21,153 |  |  | $ | 17,372 |
Income tax benefit | $ | 4,199 |  |  | $ | 3,367 |  |  | $ | 7,265 |  |  | $ | 5,711 |
Share-Based Awards The following table summarizes the changes in unvested share-based awards for the six months ended June 30, 2017:
| Shares |  | Weighted-Average Grant-Date Fair Value
| (in thousands) |  |
Unvested at December 31, 2016 | 1,263 |  |  |  | $49.55 |
Granted | 490 |  |  | 80.21 |
Vested | (34 | ) |  | 60.89 |
Forfeited | (54 | ) |  | 58.22 |
Unvested at June 30, 2017 | 1,665 |  |  |  | $58.05 |
The total fair value of share-based awards vested during the six months ended June 30, 2017 and June 30, 2016 was $2.2 million and $1.0 million, respectively. For these share-based awards, we recognized compensation expense of $11.2 million and $9.8 million during the three months ended June 30, 2017 and June 30, 2016, respectively, and $19.2 million and $16.3 million during the six months ended June 30, 2017 and June 30, 2016, respectively. As of June 30, 2017, there was $65.2 million of unrecognized compensation expense related to unvested share-based awards that we expect to recognize over a weighted-average period of 2.3 years. Our share-based award plans provide for accelerated vesting under certain conditions. Stock Options Stock options are granted with an exercise price equal to 100% of fair market value of our common stock on the date of grant and have a term of ten years. Stock options granted before the year ended May 31, 2015 vest in equal installments on each of the first four anniversaries of the grant date. Stock options granted during the year ended May 31, 2015 and thereafter vest in equal installments on each of the first three anniversaries of the grant date. During the six months ended June 30, 2017, we granted stock options to purchase 123,958 shares of our common stock. There were no stock options granted during the six months ended June 30, 2016. Our stock option plans provide for accelerated vesting under certain conditions. The following summarizes changes in unvested stock option activity for the six months ended June 30, 2017:
| Options |  | Weighted-Average Exercise Price |  | Weighted-Average Remaining Contractual Term |  | Aggregate Intrinsic Value
| (in thousands) |  |  |  | (years) |  | (in millions)
Outstanding at December 31, 2016 | 759 |  |  | $37.51 |  | 6.0 |  | $24.5
Granted | 124 |  |  | 79.45 |  |  |  |  |
Forfeited | — |  |  | — |  |  |  |  |
Exercised | (122 | ) |  | 22.03 |  |  |  |  |
Outstanding at June 30, 2017 | 761 |  |  | $46.79 |  | 6.7 |  | $33.2
Options vested and exercisable at June 30, 2017 | 381 |  |  | $31.05 |  | 4.8 |  | $22.6
We recognized compensation expense for stock options of $0.7 million and $0.4 million during the three months ended June 30, 2017 and June 30, 2016, respectively, and $1.3 million and $0.7 million during the six months ended June 30, 2017 and June 30, 2016, respectively. The aggregate intrinsic value of stock options exercised during the six months ended June 30, 2017 and June 30, 2016 was $7.5 million and $4.6 million, respectively. As of June 30, 2017, we had $4.7 million of unrecognized compensation expense related to unvested stock options that we expect to recognize over a weighted-average period of 2.2 years. The weighted-average grant-date fair value of each stock option granted during the six months ended June 30, 2017 was $23.68. Fair value was estimated on the date of grant using the Black-Scholes valuation model with the following weighted-average assumptions:
| Six Months Ended
| June 30, 2017
Risk-free interest rate | 1.99%
Expected volatility | 30%
Dividend yield | 0.06%
Expected term (years) | 5
The risk-free interest rate is based on the yield of a zero coupon U.S. Treasury security with a maturity equal to the expected life of the option from the date of the grant. Our assumption on expected volatility is based on our historical volatility. The dividend yield assumption is calculated using our average stock price over the preceding year and the annualized amount of our most current quarterly dividend per share. We based our assumptions on the expected term of the options on our analysis of the historical exercise patterns of the options and our assumption on the future exercise pattern of options.

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- Definition The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -URI http://asc.fasb.org/topic&trid=2228938 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 50 -URI http://asc.fasb.org/subtopic&trid=2208855 + Details
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