Stock-Based Compensation (Tables)

9 Months Ended

Oct. 05, 2024

Payout Determined from Total Shareholder Return Shares

The Company TSR compared to the Peer Group TSR will determine the payout as set forth below:

Percentile	Payout as % of Target
90th		200	%
70th		150	%
50th		100	%
30th		50	%
Below 30th		0	%

Schedule of ROIC Shares Earned Based on Ranges of Target

The ROIC Shares can be earned based on a ranges of target as defined below:

Difference of ROIC minus WACC	2024 Award
Less than 150 basis points	0%
150 basis points	50%
300 basis points	100%
450+ basis points	150%
Difference of ROIC minus WACC	2023 and 2022 Award
Less than 175 basis points	0%
175 basis points	50%
375 basis points	100%
475+ basis points	125%

Performance-Contingent Restricted Stock Awards

The table below presents the TSR modifier share adjustment (a 127.69% final payout), ROIC modifier share adjustment (a 125% final payout), accumulated dividends on vested shares, and the tax benefit at vesting of the performance-contingent restricted stock awards (amounts in thousands, except per share data):

Award Granted		Fiscal Year Vested		TSR Modifier Increase Shares		ROIC Modifier Increase Shares		Dividends at Vesting		Tax Benefit		Fair Value at Vesting
	2021		2024		92,775		83,835	$	2,173	$	286	$	19,419

Performance-Contingent Restricted Stock Activity

The company’s performance-contingent restricted stock activity for the forty weeks ended October 5, 2024 is presented below (amounts in thousands, except price data):

	Shares			Weighted Average Grant Date Fair Value
Nonvested shares at December 30, 2023		2,017		$	27.70
Granted		544		$	24.29
Grant increase for achieving the ROIC modifier		84		$	22.51
Grant increase for achieving the TSR modifier		93		$	26.07
Vested		(848	)	$	24.40
Forfeited		(51	)	$	28.09
Nonvested shares at October 5, 2024		1,839		$	27.85

Time-Based Restricted Stock Units Awards

The following TBRSU Shares have been granted under the Omnibus Plan during the forty weeks ended October 5, 2024 (amounts in thousands, except price data):

Grant Date	Shares Granted		Vesting Date	Fair Value per Share
12/31/2023		818	Equally over 3 years	$	22.51
2/16/2024		7	Equally over 3 years	$	22.42
7/14/2024		23	Equally over 3 years	$	21.92

Time-Based Restricted Stock Units Activity

The TBRSU Shares activity for the forty weeks ended October 5, 2024 is set forth below (amounts in thousands, except price data):

	TBRSU Shares			Weighted Average Fair Value		Weighted Average Remaining Contractual Term (Years)		Unrecognized Compensation Cost
Nonvested shares at December 30, 2023		473		$	26.67
Vested		(249	)	$	25.75
Granted		848		$	22.51
Forfeitures		(79	)	$	24.12
Nonvested shares at October 5, 2024		993		$	23.56		2.05	$	15,960

Vesting of Time-Based Restricted Stock Units

The table below presents the accumulated dividends on vested shares and the tax (expense)/benefit at vesting of the time-based restricted stock units (amounts in thousands).

Award Granted		Fiscal Year Vested		Dividends at Vesting		Tax (Expense) Benefit			Fair Value at Vesting
	2023		2024	$	73	$	(141	)	$	2,674
	2022		2024	$	103	$	(69	)	$	1,348
	2021		2024	$	197	$	3		$	1,734

Deferred Stock Activity

The deferred stock activity for the forty weeks ended October 5, 2024 is set forth below (amounts in thousands, except price data):

	Shares			Weighted Average Fair Value		Weighted Average Remaining Contractual Term (Years)		Unrecognized compensation cost
Nonvested shares at December 30, 2023		68		$	26.26
Vested		(66	)	$	25.70
Granted		77		$	23.38
Nonvested shares at October 5, 2024		79		$	23.52		0.62	$	1,108

Summary of Company's Stock Based Compensation Expense

The following table summarizes the company’s stock-based compensation expense for the twelve and forty weeks ended October 5, 2024 and October 7, 2023, respectively (amounts in thousands):

	For the Twelve Weeks Ended
	October 5, 2024		October 7, 2023
Performance-contingent restricted stock awards	$	3,717	$	3,915
TBRSU Shares		2,238		1,536
Deferred and restricted stock		426		432
Total stock-based compensation	$	6,381	$	5,883
	For the Forty Weeks Ended
	October 5, 2024		October 7, 2023
Performance-contingent restricted stock awards	$	14,360	$	15,482
TBRSU Shares		7,595		4,611
Deferred and restricted stock		1,369		1,289
Total stock-based compensation	$	23,324	$	21,382

Performance-Contingent Total Shareholder Return Shares

Performance Contingent TSR Shares, ROIC Shares and Restricted Stock Awards

The following performance-contingent TSR Shares have been granted during the forty weeks ended October 5, 2024 under the Omnibus Plan (amounts in thousands, except price data):

Grant Date	Shares Granted		Vesting Date	Fair Value per Share
12/31/2023		272	2/28/2027	$	26.07

Return On Invested Capital

Performance Contingent TSR Shares, ROIC Shares and Restricted Stock Awards

The following performance-contingent ROIC Shares have been granted under the Omnibus Plan during the forty weeks ended October 5, 2024 (amounts in thousands, except price data):

Grant Date	Shares Granted		Vesting Date	Fair Value per Share
12/31/2023		272	2/28/2027	$	22.51