Hillenbrand, Inc. Annual report pursuant to Section 13 and 15(d)

Share-Based Compensation (Tables)

12 Months Ended

Sep. 30, 2015



	Year Ended September 30,
	2015		2014		2013
Stock-based compensation cost	$	12.0	$	7.5	$	6.4
Less impact of income tax	4.4		2.8		2.3
Stock-based compensation cost, net of tax	$	7.6	$	4.7	$	4.1

The following assumptions were used in the determination of fair value:



	Year Ended September 30,
	2015	2014	2013
Risk-free interest rate	0.1 - 2.2%	0.1 - 2.8%	0.2 - 1.6%
Weighted-average dividend yield	2.5%	2.8%	3.8%
Weighted-average volatility factor	31.8%	33.5%	34.9%
Exercise factor	33.1%	29.5%	32.1%
Post-vesting termination rate	5.0%	5.0%	5.0%
Expected life (years)	4.6	4.2	4.1

The following tables provide a summary of outstanding stock option awards:



	Number of Shares		Weighted-Average Exercise Price
Outstanding at September 30, 2014	2,479,367		$	21.52
Granted	360,903		32.66
Exercised	(245,591	)	21.22
Forfeited	(73,283	)	28.01
Expired	(4,264	)	26.29
Outstanding at September 30, 2015	2,517,132		22.95

Exercisable at September 30, 2015	1,851,230		20.71

A summary of the unvested stock award activity presented below represents the maximum number of shares that could be earned or vested:



	Number of Shares		Weighted-Average Grant Date Fair Value
Time-Based Stock Awards	Number of Shares		Weighted-Average Grant Date Fair Value
Non-vested time-based stock awards at September 30, 2014	119,083		$	25.09
Granted	69,073		30.99
Vested	(88,372	)	27.95
Forfeited	(18,341	)	22.49
Non-vested time-based stock awards at September 30, 2015	81,443		27.56



	Number of Shares		Weighted-Average Grant Date Fair Value
Performance-Based Stock Awards	Number of Shares		Weighted-Average Grant Date Fair Value
Non-vested performance-based stock awards at September 30, 2014	1,209,318		$	24.22
Granted	474,599		33.44
Vested	(144,715	)	20.72
Forfeited	(603,151	)	21.95
Non-vested performance-based stock awards at September 30, 2015	936,051		30.91