XML 162 R43.htm IDEA: XBRL DOCUMENT
v2.4.1.9

Employee Benefits and Share-Based Compensation (Tables) | 12 Months Ended
--- | ---
Dec. 31, 2014
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] |
Estimate of Fair Value of Share-Based Awards, Stock Options | The following assumptions were used to estimate the fair value of share-based awards:
| Year Ended
| December 31, 2014 |  | December 31, 2013 |  | December 31, 2012
Stock Option Plans |  |  |  |  |
Risk-free interest rate (1) | 1.6 | % |  | 1.2 | % |  | 0.9 | %
Dividend yield | — | % |  | — | % |  | — | %
Expected volatility (2) | 34.9 | % |  | 43.1 | % |  | 45.8 | %
Expected life (3) | 4.8 years |  |  | 5.3 years |  |  | 5.2 years |
| Year Ended
| December 31, 2014 |  | December 31, 2013 |  | December 31, 2012
Employee Stock Purchase Plan |  |  |  |  |
Risk-free interest rate (1) | 0.2 | % |  | 0.2 | % |  | 0.2 | %
Dividend yield | — | % |  | — | % |  | — | %
Expected volatility (2) | 33.2 | % |  | 35.1 | % |  | 38.5 | %
Expected life (3) | 0.5 - 2 years |  |  | 0.5 - 2 years |  |  | 0.5 - 2 years |
_________________________________________________
(1) | The risk-free interest rate for both stock options and the ESPP is based on the zero-coupon U.S. Treasury rate curve in effect at the time of the option grant or at the beginning of the ESPP offering period.
(2) | Expected volatility for both stock options and the ESPP reflects a combination of historical and market-based implied volatility consistent with ASC 718 and SEC Staff Accounting Bulletin 107. We determined that the combination of historical and market-based implied volatility provides a more accurate reflection of our market conditions and is more representative of future stock price trends than employing solely historical volatility.
(3) | Represents the period of time that options granted are expected to be outstanding, which is derived from historical data on employee exercise and post-vesting employment termination behavior.
Estimate of Fair Value of Share-Based Awards, Employee Stock Purchase Plan | The following assumptions were used to estimate the fair value of share-based awards:
| Year Ended
| December 31, 2014 |  | December 31, 2013 |  | December 31, 2012
Stock Option Plans |  |  |  |  |
Risk-free interest rate (1) | 1.6 | % |  | 1.2 | % |  | 0.9 | %
Dividend yield | — | % |  | — | % |  | — | %
Expected volatility (2) | 34.9 | % |  | 43.1 | % |  | 45.8 | %
Expected life (3) | 4.8 years |  |  | 5.3 years |  |  | 5.2 years |
| Year Ended
| December 31, 2014 |  | December 31, 2013 |  | December 31, 2012
Employee Stock Purchase Plan |  |  |  |  |
Risk-free interest rate (1) | 0.2 | % |  | 0.2 | % |  | 0.2 | %
Dividend yield | — | % |  | — | % |  | — | %
Expected volatility (2) | 33.2 | % |  | 35.1 | % |  | 38.5 | %
Expected life (3) | 0.5 - 2 years |  |  | 0.5 - 2 years |  |  | 0.5 - 2 years |
_________________________________________________
(1) | The risk-free interest rate for both stock options and the ESPP is based on the zero-coupon U.S. Treasury rate curve in effect at the time of the option grant or at the beginning of the ESPP offering period.
(2) | Expected volatility for both stock options and the ESPP reflects a combination of historical and market-based implied volatility consistent with ASC 718 and SEC Staff Accounting Bulletin 107. We determined that the combination of historical and market-based implied volatility provides a more accurate reflection of our market conditions and is more representative of future stock price trends than employing solely historical volatility.
(3) | Represents the period of time that options granted are expected to be outstanding, which is derived from historical data on employee exercise and post-vesting employment termination behavior.
Share-Based Compensation Expense Recognized in Consolidate Statements of Income | The following table sets forth the total share-based compensation expense recognized in our Consolidated Statements of Income:
| Year Ended
| December 31, 2014 |  | December 31, 2013 |  | December 31, 2012
| (In thousands)
Cost of product and service revenues | $ | 1,456 |  |  | $ | 1,241 |  |  | $ | 1,011 |
Research and development | 1,655 |  |  | 1,359 |  |  | 889 |
Selling, general and administrative | 9,674 |  |  | 8,551 |  |  | 7,314 |
Total share-based compensation expense | $ | 12,785 |  |  | $ | 11,151 |  |  | $ | 9,214 |
Stock Option Activity under the 2009 Plan | A summary of the stock option activity under the 2009 Plan is presented below:
| Number of Shares |  | Weighted-Average Exercise Price |  | Weighted-Average Remaining Years |  | Aggregate Intrinsic Value(1)
| (In thousands, except per share data)
Outstanding at December 31, 2013 | 3,143 |  |  | $ | 15.82 |  |  | 5.6 |  |
Granted | 641 |  |  | 28.11 |  |  |  |  |
Exercised | (1,007 | ) |  | 14.74 |  |  |  |  |
Expired | (12 | ) |  | 19.88 |  |  |  |  |
Forfeited | (93 | ) |  | 19.97 |  |  |  |  |
Outstanding at December 31, 2014 | 2,672 |  |  | $ | 19.02 |  |  | 6.5 |  | $ | 37,692 |
Exercisable at December 31, 2014 | 1,514 |  |  | $ | 15.66 |  |  | 4.7 |  | $ | 26,447 |
Vested and expected to vest at December 31, 2014 | 2,640 |  |  | $ | 18.92 |  |  | 6.4 |  | $ | 37,481 |
_________________________________________________
(1) | Intrinsic value is calculated as the difference between the market value or closing price of our common stock as of the last trading day of the year as reported by the NASDAQ Global Select Market, and the exercise price of the option.
Restricted Stock Units Activity under the 2009 Plan | A summary of the restricted stock activity under the 2009 Plan is presented below:
| Number of Shares |  | Weighted-Average Grant Date Fair Value |  | Weighted-Average Remaining Years |  | Aggregate Intrinsic Value
| (In thousands, except per share data)
Restricted Stock Units |  |  |  |  |  |  |
Outstanding at December 31, 2013 | 362 |  |  | $ | 17.15 |  |  | 2.5 |  |
Granted | 238 |  |  | 28.88 |  |  |  |  |
Vested | (181 | ) |  | 17.51 |  |  |  |  |
Forfeited | (20 | ) |  | 16.50 |  |  |  |  |
Outstanding and unvested at December 31, 2014 | 399 |  |  | $ | 24.00 |  |  | 1.5 |  | $ | 13,190 |
Expected to vest at December 31, 2014 | 387 |  |  |  |  | 1.5 |  | $ | 12,807 |
Restricted Stock Units Award under the 2009 Plan |
| Number of Shares |  | Weighted-Average Grant Date Fair Value
| (In thousands, except per share data)
Restricted Stock Awards |  |  |
Outstanding at December 31, 2013 | 52 |  |  | $ | 18.43 |
Granted | 38 |  |  | 26.42 |
Vested | (54 | ) |  | 18.68 |
Forfeited | — |  |  | — |
Outstanding and unvested at December 31, 2014 | 36 |  |  | $ | 26.47 |
Performance Shares Restricted Stock Activity under the 2009 Plan | A summary of the performance-based restricted stock activity under the 2009 Plan is presented below:
| Number of Shares |  | Weighted-Average Grant Date Fair Value Per Unit
| (In thousands, except per share data)
Unvested at December 31, 2013 | 225 |  |  | $ | 13.32 |
Granted | 158 |  |  | 20.94 |
Vested | (114 | ) |  | 13.32 |
Cancelled | (36 | ) |  | 16.73 |
Unvested at December 31, 2014 | 233 |  |  | $ | 17.96 |

X
- Details
Name: | us-gaap_DisclosureOfCompensationRelatedCostsSharebasedPaymentsAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the changes in outstanding nonvested restricted stock shares. + 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) -URI http://asc.fasb.org/extlink&oid=6415400&loc=d3e5070-113901 + Details
Name: | us-gaap_NonvestedRestrictedStockSharesActivityTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
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 1 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=6415400&loc=d3e5047-113901 Reference 2: 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 3: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Staff Accounting Bulletin (SAB) -Number Topic 14 -Section F Reference 4: 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 + 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 changes in outstanding nonvested restricted stock units. + 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)(2) -URI http://asc.fasb.org/extlink&oid=6415400&loc=d3e5070-113901 + Details
Name: | us-gaap_ScheduleOfNonvestedRestrictedStockUnitsActivityTableTextBlock
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 employee stock purchase plans, including, but not limited to: (a) expected term, (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_ScheduleOfShareBasedPaymentAwardEmployeeStockPurchasePlanValuationAssumptionsTableTextBlock
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

X
- Definition Tabular disclosure of the number and weighted-average grant date fair value for unvested performance shares. + 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) -URI http://asc.fasb.org/extlink&oid=6415400&loc=d3e5070-113901 + Details
Name: | us-gaap_ShareBasedCompensationPerformanceSharesAwardUnvestedActivityTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration