STOCK-BASED COMPENSATION (Tables)

9 Months Ended

Mar. 31, 2017

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

Schedule of Information Related to Restricted Stock

The following table includes information related to restricted stock, performance share awards and stock options for the nine months ended March 31, 2017:



	Restricted Stock				Performance Share Awards				Stock Options
	Number of Awards		Weighted Average Fair Value at Grant Date		Number of Awards		Weighted Average Fair Value at Grant Date		Number of Options		Weighted Average Exercise Price
Outstanding at June 30, 2016	403,117		$	33.86	1,443,708		$	30.02	3,314,661		$	30.04
Granted	265,852		$	31.57	902,736		$	29.72	524,709		$	31.59
Vested/exercised	(47,114	)	$	32.83	(1,181,820	)	$	27.00	(123,586	)	$	27.57
Forfeited	(38,980	)	$	33.77	(74,101	)	$	33.91	(121,811	)	$	34.22
Outstanding at March 31, 2017	582,875		$	32.91	1,090,523		$	32.78	3,593,973		$	30.21

Stock options outstanding and exercisable at March 31, 2017									2,429,376		$	28.77

Schedule of Information Related to Performance Share Awards

The following table includes information related to restricted stock, performance share awards and stock options for the nine months ended March 31, 2017:



	Restricted Stock				Performance Share Awards				Stock Options
	Number of Awards		Weighted Average Fair Value at Grant Date		Number of Awards		Weighted Average Fair Value at Grant Date		Number of Options		Weighted Average Exercise Price
Outstanding at June 30, 2016	403,117		$	33.86	1,443,708		$	30.02	3,314,661		$	30.04
Granted	265,852		$	31.57	902,736		$	29.72	524,709		$	31.59
Vested/exercised	(47,114	)	$	32.83	(1,181,820	)	$	27.00	(123,586	)	$	27.57
Forfeited	(38,980	)	$	33.77	(74,101	)	$	33.91	(121,811	)	$	34.22
Outstanding at March 31, 2017	582,875		$	32.91	1,090,523		$	32.78	3,593,973		$	30.21

Stock options outstanding and exercisable at March 31, 2017									2,429,376		$	28.77

Schedule of Information Related to Stock Options

The following table includes information related to restricted stock, performance share awards and stock options for the nine months ended March 31, 2017:



	Restricted Stock				Performance Share Awards				Stock Options
	Number of Awards		Weighted Average Fair Value at Grant Date		Number of Awards		Weighted Average Fair Value at Grant Date		Number of Options		Weighted Average Exercise Price
Outstanding at June 30, 2016	403,117		$	33.86	1,443,708		$	30.02	3,314,661		$	30.04
Granted	265,852		$	31.57	902,736		$	29.72	524,709		$	31.59
Vested/exercised	(47,114	)	$	32.83	(1,181,820	)	$	27.00	(123,586	)	$	27.57
Forfeited	(38,980	)	$	33.77	(74,101	)	$	33.91	(121,811	)	$	34.22
Outstanding at March 31, 2017	582,875		$	32.91	1,090,523		$	32.78	3,593,973		$	30.21

Stock options outstanding and exercisable at March 31, 2017									2,429,376		$	28.77

Schedule of Unrecognized Stock-Based Compensation Expense

Unrecognized stock-based compensation expense at March 31, 2017 was as follows (in thousands):



	Unrecognized Stock-Based Compensation Expense		Weighted Average Amortization Period
Restricted stock	$	10,815	1.83 years
Performance share awards	19,535		1.91 years
Stock options	9,737		1.83 years
Total unrecognized stock-based compensation expense	$	40,087	1.87 years

Schedule of Aggregate Intrinsic Value of Stock Options

The aggregate intrinsic value of stock options at March 31, 2017 was as follows (in thousands):



	Intrinsic Value of Stock Options
Outstanding and exercisable	$	8,556
Expected to vest	170
Total outstanding	$	8,726

Exercised during the nine months ended March 31, 2017	$	621

Assumptions Used for Determining the Fair Value of Stock Options Granted

The Company estimated the fair value of each stock option on the date of grant using a Black-Scholes option-pricing model, applying the following assumptions, and amortized expense over each option's vesting period using the straight-line attribution approach:



	Nine Months Ended March 31,
	2017	2016
Expected life ^(a)	6 years	6 years
Expected dividend ^(b)	—	—
Expected volatility ^(c)	32.01% - 33.00%	32.70% - 33.50%
Risk-free interest rate ^(d)	1.31% - 2.13%	1.37% - 1.82%
Weighted average option grant date fair value	$10.48 - $11.28	$11.19 - $12.40


(a)	The six-year expected life (estimated period of time outstanding) of stock options granted was estimated using the "Simplified Method" which utilizes the midpoint between the vesting date and the end of the contractual term. This method was utilized for the stock options due to the lack of historical exercise behavior of Premier's employees.


(b)	No dividends are expected to be paid over the contractual term of the stock options granted, resulting in the use of a zero expected dividend rate.


(c)	The expected volatility rate is based on the observed historical volatilities of comparable companies.


(d)	The risk-free interest rate was interpolated from the five-year and seven-year Constant Maturity Treasury rate published by the United States Treasury as of the date of the grant.