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Note E - Stock Compensation
9 Months Ended
Oct. 02, 2021
Notes to Financial Statements  
Share-based Payment Arrangement [Text Block]

Note E – Stock Compensation


 

The fair value of stock-based compensation is recognized in accordance with the provisions of FASB ASC 718, Stock Compensation.

 

During the nine months ended October 2, 2021 and pursuant to the 2017 Incentive Plan, in lieu of cash payments of director fees, the Company awarded to certain directors 5,683 shares of common stock. During the nine months ended October 2, 2021, the Company awarded 13,332 restricted stock units to directors and 37,283 restricted stock units to employees. The restricted stock units awarded to directors time vest over two years (one-half one year from grant date and one-half two years from grant date) provided that the director is still a director of the Company at the vest date. Director restricted stock units are subject to forfeiture, except for termination of services as a result of retirement, death or disability, if on the vesting date the director no longer holds a position with the Company. The 2021 restricted stock units awarded to employees time vest over three years (one-third one year from grant, one-third two years from grant and one-third three years from grant) provided that the employee is still employed by the Company on the vesting date.

 

For the three and nine months ended October 2, 2021, the Company recognized stock based compensation expense of $229 thousand and $666 thousand, respectively compared to stock based compensation expense of $263 thousand and $756 thousand for the same periods in the prior year. At October 2, 2021 and October 3, 2020, respectively, there was $0.9 million and $1.2 million in unrecognized stock-based compensation expense related to non-vested stock awards.