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Stock Option and Incentive Plan | 12 Months Ended
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Sep. 30, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] |
Stock Option and Incentive Plan | Note 18 — Stock Option and Incentive Plan In January 1998, the Company adopted the 1998 Stock Option and Incentive Plan, or Equity Incentive Plan, which provides for the grant of restricted stock awards, stock options and other equity-based awards to employees, officers, directors, and consultants. Since its adoption, the Equity Incentive Plan has been amended on several occasions to, among other things, increase the number of ordinary shares issuable under the Equity Incentive Plan. In January 2017, the maximum number of ordinary shares authorized by the Company’s Board of Directors to be granted under the Equity Incentive Plan was increased from 62,300 to 67,550. The issuance of such additional shares was registered with the SEC in February 2018. Awards granted under the Equity Incentive Plan generally vest over a period of three to four years and stock options have a term of ten years. The following table summarizes information about options to purchase the Company’s ordinary shares, as well as changes during the fiscal year ended September 30, 2018:
|  | Number of Share Options |  |  | Weighted Average Exercise Price |
Outstanding as of October 1, 2017 |  |  | 6,957 |  |  | $ | 49.52 |
Granted |  |  | 1,826 |  |  |  | 65.94 |
Exercised |  |  | (1,800 | ) |  |  | 45.16 |
Forfeited |  |  | (566 | ) |  |  | 56.90 |
Outstanding as of September 30, 2018(1) |  |  | 6,418 |  |  | $ | 54.76 |
Exercisable as of September 30, 2018(1) |  |  | 2,323 |  |  | $ | 45.03 |
(1) | As of September 30, 2018, the weighted average remaining contractual life of outstanding and exercisable options was 7.36 and 5.67 years, respectively.
The following table summarizes information relating to awards of restricted shares, as well as changes during the fiscal year ended September 30, 2018:
|  | Number of Shares |  |  | Weighted Average Grant Date Fair Value |
Outstanding as of October 1, 2017 |  |  | 1,396 |  |  | $ | 55.55 |
Granted |  |  | 431 |  |  |  | 65.33 |
Vested |  |  | (670 | ) |  |  | 53.61 |
Forfeited |  |  | (135 | ) |  |  | 57.62 |
Outstanding as of September 30, 2018 |  |  | 1,022 |  |  | $ | 60.68 |
The total intrinsic value of options exercised during fiscal years 2018, 2017 and 2016 was $38,025, $47,321 and $65,292, respectively. The value of restricted shares vested during fiscal years 2018, 2017 and 2016 was $35,801, $36,922 and $39,490, respectively. The aggregate intrinsic value of outstanding and exercisable stock options as of September 30, 2018 was $75,177 and $49,058, respectively. Employee equity-based compensation pre-tax expense for the years ended September 30, 2018, 2017 and 2016 was as follows:
|  | Year Ended September 30, |
|  | 2018 |  |  | 2017 |  |  | 2016 |
Cost of revenue |  | $ | 18,253 |  |  | $ | 19,215 |  |  | $ | 18,249 |
Research and development |  |  | 3,476 |  |  |  | 3,536 |  |  |  | 3,742 |
Selling, general and administrative |  |  | 25,747 |  |  |  | 21,788 |  |  |  | 20,709 |
Total |  | $ | 47,476 |  |  | $ | 44,539 |  |  | $ | 42,700 |
The total income tax benefit recognized in the consolidated statements of income for stock-based compensation (including restricted shares) for fiscal years 2018, 2017 and 2016 was $6,047, $4,754 and $4,503, respectively. As of September 30, 2018, there was $34,975 of unrecognized compensation expense related to unvested stock options and unvested restricted shares. The Company recognizes compensation costs using the graded vesting attribution method, which results in a weighted average period of approximately one year over which the unrecognized compensation expense is expected to be recognized. The fair value of options granted was estimated on the date of grant using the Black-Scholes pricing model with the assumptions noted in the following table (all in weighted averages for options granted during the year):
|  | Year Ended September 30, |
|  | 2018 |  |  | 2017 |  |  | 2016 |
Risk-free interest rate(1) |  |  | 2.30 | % |  |  | 1.63 | % |  |  | 1.40 | %
Expected life of stock options(2) |  |  | 4.50 |  |  |  | 4.50 |  |  |  | 4.50 |
Expected volatility(3) |  |  | 15.0 | % |  |  | 16.2 | % |  |  | 18.5 | %
Expected dividend yield(4) |  |  | 1.51 | % |  |  | 1.47 | % |  |  | 1.40 | %
Fair value per option |  | $ | 8.70 |  |  | $ | 7.62 |  |  | $ | 7.97 |
(1) | Risk-free interest rate is based upon U.S. Treasury yield curve appropriate for the term of the Company’s employee stock options.
(2) | Expected life of stock options is based upon historical experience.
(3) | Expected volatility is based on blended volatility. See Note 2 to the consolidated financial statements.
(4) | Expected dividend yield is based on the Company’s history and future expectation of dividend payouts.

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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://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 718 -URI http://asc.fasb.org/topic&trid=2228938 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 50 -URI http://asc.fasb.org/subtopic&trid=2208855 + Details
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