Quarterly report pursuant to Section 13 or 15(d)

Employee Equity Incentive Plans (Tables)

v2.4.0.8
Employee Equity Incentive Plans (Tables)
9 Months Ended
Sep. 28, 2013
Employee Equity Incentive Plans (Tables) [Abstract]  
Restricted Stock Units Estimated Values And Weighted Average Assumptions [Table Text Block]
We estimate the fair value of restricted stock unit awards with time-based vesting using the value of our common stock on the date of grant, reduced by the present value of dividends expected to be paid on our common stock prior to vesting. We estimate the fair value of market-based restricted stock units using a Monte Carlo simulation model on the date of grant. We based the weighted average estimated values of restricted stock unit grants, as well as the weighted average assumptions that we used in calculating the fair value, on estimates at the date of grant, as follows:
 
 
 
Three Months Ended
 
Nine Months Ended
 
 
Sep 28,
2013
 
Sep 29,
2012
 
Sep 28,
2013
 
Sep 29,
2012
Estimated values
 
$
21.20

 
$
23.77

 
$
21.43

 
$
25.42

Risk-free interest rate
 
0.3
%
 
0.3
%
 
0.2
%
 
0.3
%
Dividend yield
 
3.9
%
 
3.5
%
 
3.8
%
 
3.3
%
Volatility
 
24
%
 
27
%
 
25
%
 
26
%
Stock Options And Stock Purchase Plan Estimated Values And Weighted Average Assumptions [Table Text Block]
We use the Black-Scholes option pricing model to estimate the fair value of options granted under our equity incentive plans and rights to acquire stock granted under our stock purchase plan. We based the weighted average estimated values of employee stock option grants and rights granted under the stock purchase plan, as well as the weighted average assumptions used in calculating these values, on estimates at the date of grant, as follows:
 
 
 
Stock Options
 
Stock Purchase Plan
 
 
Three Months Ended
 
Nine Months Ended
 
Three Months Ended
 
Nine Months Ended
 
 
Sep 28,
2013
 
Sep 29,
2012
 
Sep 28,
2013
 
Sep 29,
2012
 
Sep 28,
2013
 
Sep 29,
2012
 
Sep 28,
2013
 
Sep 29,
2012
Estimated values
 
$
3.25

 
$
3.97

 
$
3.11

 
$
4.26

 
$
4.74

 
$
5.42

 
$
4.52

 
$
5.47

Expected life (in years)
 
5.2

 
5.3

 
5.2

 
5.3

 
0.5

 
0.5

 
0.5

 
0.5

Risk-free interest rate
 
1.5
%
 
0.7
%
 
0.8
%
 
1.0
%
 
0.1
%
 
0.2
%
 
0.1
%
 
0.1
%
Dividend yield
 
3.9
%
 
3.5
%
 
3.9
%
 
3.2
%
 
3.9
%
 
3.5
%
 
4.0
%
 
3.3
%
Volatility
 
24
%
 
27
%
 
25
%
 
25
%
 
22
%
 
24
%
 
22
%
 
24
%
Schedule of Share-based Compensation, Restricted Stock Units Award Activity [Table Text Block]
Activity with respect to outstanding restricted stock units (RSUs) in the first nine months of 2013 was as follows:
 
 
 
Number of
RSUs
(In Millions)
 
Weighted Average
Grant-Date
Fair Value
(Per RSU)
December 29, 2012
 
109.3

 
$
22.03

Granted
 
51.3

 
$
21.43

Vested
 
(42.7
)
 
$
20.30

Forfeited
 
(3.7
)
 
$
22.08

September 28, 2013
 
114.2

 
$
22.41

Schedule of Stock Options Roll Forward [Table Text Block]
Activity with respect to outstanding stock options in the first nine months of 2013 was as follows:
 
 
 
Number of
Options
(In Millions)
 
Weighted Average
Exercise Price
(Per Option)
December 29, 2012
 
202.8

 
$
20.20

Granted
 
19.1

 
$
22.94

Exercised
 
(50.2
)
 
$
18.71

Cancelled and forfeited
 
(2.4
)
 
$
22.21

Expired
 
(1.6
)
 
$
21.30

September 28, 2013
 
167.7

 
$
20.92

Options exercisable as of:
 
 
 
 
December 29, 2012
 
139.8

 
$
19.76

September 28, 2013
 
107.3

 
$
20.35