Stock-Based Compensation (Tables)

3 Months Ended

Mar. 29, 2022

Stock-Based Compensation Recognized within Our Consolidated Financial Statements

The following table presents the stock-based compensation recognized within our consolidated financial statements (in thousands):  

	For the Thirteen Weeks Ended
	March 29, 2022		March 30, 2021
Labor and benefits	$	751	$	808
General and administrative	$	1,961	$	1,611
Capitalized (1)	$	76	$	96

(1) Capitalized stock-based compensation relates to our restaurant development personnel and is included in “Property and equipment, net” on the Consolidated Balance Sheets.

Black-Scholes Option-Pricing Model, Weighted Average Assumptions Used to Estimate the Fair Value of Each Stock Option

The fair value of each stock option was estimated on the grant date using the Black‑Scholes option-pricing model with the following weighted average assumptions:

	For the Thirteen Weeks Ended
	March 29, 2022			March 30, 2021
Expected volatility		63.2	%		60.4	%
Risk-free interest rate		1.6	%		0.5	%
Expected option life	5 years			5 years
Dividend yield		0.0	%		0.0	%
Fair value of options granted	$	17.38		$	23.78

Stock Option Activity

Under our stock-based compensation plan the exercise price of a stock option is required to equal or exceed the fair value of our common stock at market close on the option grant date or the most recent trading day when grants take place on market holidays. The following table presents stock option activity:

	Options Outstanding					Options Exercisable
	Shares (in thousands)			Weighted Average Exercise Price		Shares (in thousands)		Weighted Average Exercise Price
Outstanding at December 28, 2021		775		$	41.77		519	$	41.02
Granted		98			32.27
Exercised		—			—
Forfeited		(8	)		45.30
Outstanding at March 29, 2022		865		$	40.66		621	$	41.69

Time-Vested Restricted Stock Units

Restricted Stock Unit Activity

The following table presents time-based restricted stock unit activity:

	Shares (in thousands)			Weighted Average Fair Value
Outstanding at December 28, 2021		619		$	39.35
Granted		161			32.33
Released		(96	)		43.76
Forfeited		(10	)		44.92
Outstanding at March 29, 2022		674		$	36.97

Performance Based Restricted Stock Units

Restricted Stock Unit Activity

The following table presents performance-based restricted stock unit activity:

	Shares (in thousands)			Weighted Average Fair Value
Outstanding at December 28, 2021		112		$	45.60
Granted		52			32.27
Released		(27	)		53.22
Forfeited		(1	)		53.22
Outstanding at March 29, 2022		136		$	38.93