Stock-based Compensation Plans (Tables)

6 Months Ended

Jul. 01, 2018

The Company recognized stock-based compensation expense as follows:



	THIRTEEN WEEKS ENDED				TWENTY-SIX WEEKS ENDED
(dollars in thousands)	JULY 1, 2018		JUNE 25, 2017		JULY 1, 2018		JUNE 25, 2017
Stock options	$	1,628	$	2,944	$	3,526	$	5,699
Restricted stock and restricted stock units	2,455		2,689		4,787		5,242
Performance-based share units	1,874		820		2,470		1,236
	$	5,957	$	6,453	$	10,783	$	12,177

The following table presents a summary of the Company’s stock option activity:



(in thousands, except exercise price and contractual life)	OPTIONS		WEIGHTED- AVERAGE EXERCISE PRICE		WEIGHTED- AVERAGE REMAINING CONTRACTUAL LIFE (YEARS)	AGGREGATE INTRINSIC VALUE
Outstanding as of December 31, 2017	10,051		$	14.89	5.2	$	71,373
Granted	488		24.01
Exercised	(3,566	)	10.23
Forfeited or expired	(178	)	20.47
Outstanding as of July 1, 2018	6,795		$	17.85	5.9	$	25,734
Exercisable as of July 1, 2018	4,461		$	17.02	4.6	$	21,278

Assumptions used in the Black-Scholes option pricing model and the weighted-average fair value of option awards granted were as follows:



	TWENTY-SIX WEEKS ENDED
	JULY 1, 2018			JUNE 25, 2017
Assumptions:
Weighted-average risk-free interest rate (1)	2.66		%	1.93		%
Dividend yield (2)	1.50		%	1.84		%
Expected term (3)	5.8 years			6.3 years
Weighted-average volatility (4)	32.76		%	33.73		%

Weighted-average grant date fair value per option	$	7.23		$	5.09

________________


(1)	Risk-free interest rate is the U.S. Treasury yield curve in effect as of the grant date for periods within the expected term of the option.


(2)	Dividend yield is the level of dividends expected to be paid on the Company’s common stock over the expected term of the option.


(3)	Expected term represents the period of time that the options are expected to be outstanding. The Company estimates the expected term based on historical exercise experience for its stock options.


(4)	Based on the historical volatility of the Company’s stock.

The following represents stock option compensation information for the periods indicated:



	TWENTY-SIX WEEKS ENDED
(dollars in thousands)	JULY 1, 2018		JUNE 25, 2017
Intrinsic value of options exercised	$	48,044	$	7,588
Excess tax benefits for tax deductions related to the exercise of stock options	$	7,837	$	1,299
Cash received from option exercises, net of tax withholding	$	36,460	$	6,835

The following represents unrecognized stock compensation expense and the remaining weighted-average vesting period as of July 1, 2018:



	UNRECOGNIZED COMPENSATION EXPENSE (dollars in thousands)		REMAINING WEIGHTED-AVERAGE VESTING PERIOD (in years)
Stock options	$	11,518	2.5
Restricted stock units	$	19,683	2.7
Performance-based share units	$	9,435	1.3