Stock-Based Compensation (Tables)

3 Months Ended

Jun. 27, 2020

Stock-Based Compensation

Schedule of assumptions used to determine fair value of stock options

The fair values of stock options granted during the thirteen weeks ended June 27, 2020 and June 29, 2019 were estimated on the grant dates using the following assumptions:

	Thirteen Weeks Ended
		June 27,			June 29,
		2020			2019
Expected option term(1)			6.3	years		6.3	-	7.0	years
Expected volatility factor(2)			57.0	%	35.3	%	-	35.6	%
Risk-free interest rate(3)			0.4	%				2.3	%
Expected annual dividend yield			0	%				0	%

(1) The Company has limited historical information regarding expected option term. Accordingly, the Company determined the expected life of the options using the simplified method.

(2) Stock volatility for each grant is measured using the weighted average of historical daily price changes of the Company’s stock and its competitors’ common stock over the most recent period equal to the expected option term of the Company’s awards.

(3) The risk-free interest rate is determined using the rate on treasury securities with the same term.

Schedule of stock award activity

The following table summarizes the stock award activity for the thirteen weeks ended June 27, 2020:

		Grant Date		Weighted
		Weighted		Average	Aggregate
	Stock	Average		Remaining	Intrinsic
	Options	Exercise Price		Contractual Life	Value
				(in years)	(in thousands)
Outstanding at March 28, 2020	1,221,223	$	19.96
Granted	264,535	$	22.41
Exercised	(630)	$	6.84		$	10
Cancelled, forfeited or expired	(7,494)	$	16.92
Outstanding at June 27, 2020	1,477,634	$	20.42	6.6	$	4,846
Vested and expected to vest after June 27, 2020	1,477,634	$	20.42	6.6	$	4,846
Exercisable at June 27, 2020	522,264	$	18.37	4.3	$	2,335

Schedule of non-vested stock options

A summary of the status of non-vested stock options as of June 27, 2020 including changes during the thirteen weeks ended June 27, 2020 is presented below:

		Weighted-
		Average
		Grant Date
	Shares	Fair Value
Nonvested at March 28, 2020	931,257	$	6.90
Granted	264,535	$	10.77
Vested	(232,928)	$	5.76
Nonvested shares forfeited	(7,494)	$	7.39
Nonvested at June 27, 2020	955,370	$	8.26

CEO

Stock-Based Compensation

Schedule of assumptions used to determine fair value of stock options

Stock price	$	28.63
Exercise price	$	28.63
Expected option term		7.0	years
Expected volatility		35.3	%
Risk-free interest rate		2.3	%
Expected annual dividend yield		0	%